After hard-fought litigation, attorney’s fees may greatly eclipse the economic value of the underlying dispute — and become the primary issue on appeal.

An entity and several individuals lost a breach of contract action brought by a manufacturing company, but they prevailed on the company’s request for almost $3 million in contractual attorney’s fees. The defendants retained CALG to defend the favorable attorney’s fee ruling on appeal. Ben Feuer and Jocelyn Sperling successfully persuaded California’s First District Court of Appeal that the contract contained only a third-party indemnity provision, which did not permit a fee award in direct-party actions, leading the court to affirm.

You can read the decision in HR E&I, Inc. v. Ahn et al. by clicking here.