Chia-Lee Hsu v. Abbara

Opinion

KENNARD, J.

When a contract contains a provision granting either party the right to recover attorney fees in the event of litigation on the contract, Civil Code section 1717 (hereafter section 1717) gives the “party prevailing on the contract” a right to recover attorney fees, whether or not that party is the party specified in the contract. It defines the phrase “party prevailing on the contract” as “the party who recovered a greater relief in the action on the contract,” and it provides that a trial court “may also determine that there is no party prevailing on the contract for…