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Attorney's Fees Update - Vinson & Elkins LLP

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Table of Contents<br />

(Continued)<br />

Page<br />

IV.<br />

D. Other specific statutory provisions addressed in recent cases..............................14<br />

1. Prompt pay statute..................................................................................14<br />

2. Insurance Code § 541 (formerly Article 21.21).......................................15<br />

3. Sanctions under Medical Liability and Insurance Improvement Act........15<br />

4. Texas Securities Act...............................................................................15<br />

E. Counterclaims....................................................................................................15<br />

1. If the main claim permits recovery of fees, a party may recover<br />

fees for defending a related counterclaim...............................................15<br />

2. “Mirror-image” declaratory judgment counterclaims do not give<br />

rise to UDJA fee recovery unless the plaintiff sought UDJA relief.........16<br />

F. 42 U.S.C. § 1983 Claims....................................................................................16<br />

The fee order.................................................................................................................16<br />

A. Judgment must include decretal language ordering payment of fees...................16<br />

B. To whom fees should be awarded.......................................................................17<br />

V. Appeals.........................................................................................................................17<br />

A. Standard of review depends on basis for awarding fees......................................17<br />

B. Preserving error..................................................................................................17<br />

C. Fee award where underlying damages award is reversed on appeal....................18<br />

D. Trial court may require security for attorney’s fees award when setting<br />

supersedeas bond...............................................................................................19<br />

VI.<br />

VII.<br />

<strong>Fees</strong> as Sanctions...........................................................................................................19<br />

A. CPRC Chapter 10 sanctions...............................................................................19<br />

B. Usual “reasonable and necessary” test does not apply........................................19<br />

C. Availability of fees as sanction after non-suit.....................................................19<br />

Attorney-Client Issues...................................................................................................20<br />

A. Contingent fee contracts.....................................................................................20<br />

B. Legal malpractice damages................................................................................21<br />

O-ii

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