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Official Blog of the AALS Section on Contracts

Cases—Attorneys’ Fees—Liquidated amount

Massachusetts A swimming pool contractor who spent $11,000 in legal fees to recover $8,500 from a defaulting buyer will get at least some of that difference back.

A provision in the parties’ contract provided that a prevailing party would be entitled to attorneys’ fees “equal to 20% of the amount [determined to be] owing unless a court sets a smaller or larger fee.”  Massachusetts Superior Court Judge Mary-Lou Rup held that under the clause the plaintiff could recover $1,700 in legal fees plus another $370 in costs—leaving plaintiff only $430 worse off than if it had not sued.

Gibraltar Pools Corp. v. Matsuk, 2004 Mass. Super. LEXIS 355 (Mass. Super. Ct. Hampden, Oct. 1, 2004)

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