California: Trial Court May Serve as Fact Finder in Post Settlement Motion for Attorneys’ Fees
California: Trial Court May Serve as Fact Finder in Post Settlement Motion for Attorneys’ Fees
In May 2013, the California Court of Appeal held that parties to a settlement agreement may validly reserve, for later determination by a trial court, both the question of whether a party did in fact prevail and the question as to the amount of attorney fees a party is due.
In August 2010, Khavarian Enterprises, Inc., doing business as Vision Communication Co. (Vision), filed an action for trade secret misappropriation against Commline, Inc. In April 2012, the parties entered into a settlement agreement and dismissed the action. Although neither party admitted liability, the agreement allowed Vision to move for attorneys’ fees and costs, subject to opposition by Commline.
When Vision filed its motion for attorneys’ fees and costs, the trial court denied the motion, ruling that since the dispute had been resolved in a settlement and the action had been dismissed, it was “well night impossible” for the court to determine whether or not attorney fees should be awarded.
The Court of Appeal disagreed, holding that a trial court may be required to act as fact finder in a post settlement motion for attorneys’ fees. See: Khavarian Enterprises, Inc. V. Commline, Inc., 216 Cal.App.4th 310 (2013), 156 Cal. Rptr. 3d 657.
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Related legal case
Khavarian Enterprises, Inc. V. Commline, Inc.
| Year | 2013 |
|---|---|
| Cite | 216 Cal.App.4th 310 (2013), 156 Cal. Rptr. 3d 657 |
| Level | State Court of Appeals |