Before we get off this topic of who pays legal fees, there’s one other special provision that applies in California.
Have you ever had a contract form presented to you, which provides that if the party who drafted the contract sues you and prevails, you have to reimburse the party for legal fees and other costs, but makes no mention of your rights to be reimbursed if you prevail in the legal action?
Not to worry: California Civil Code §1717 says that even if a contract specifies that only Party A will be entitled to legal fee reimbursement if prevailing, Party B is automatically eligible for court-awarded reimbursement of legal fees and costs if Party B prevails. Most people will see that as fair and equitable.
If you are presented with such an adhesive and unfair contract, it should also cause you to take a moment to consider how you feel about dealing with a firm whose attorney has inserted a clause like this. What else has been inserted that is one-sided and unfair? How much extra effort will your attorney have to undertake to ferret out other such abusive contract terms, and seek their amendment or removal? Have your attorney review a proposed contract BEFORE you sign is always a prudent course of action.
The information presented is not intended to be, and does not constitute, “legal advice.” Because each situation varies, and only brief summary information is provided here, you should not use this information as a basis for action unless you have independently verified with your own counsel that it applies to your particular situation.
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