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Perspective

Oct. 25, 2016

Fee Shifting

The principal claimed benefit of fee-shifting provisions is deterrence, i.e., discouraging the initiation of doubtful litigation or the assertion of unsound defenses for fear of having to pay the other side's attorney fees. Back they can backfire. By David M. Balabanian

David M. Balabanian

Morgan, Lewis & Bockius LLP

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By David M. Balabanian

LESSONS LEARNED

The principal claimed benefit of fee-shifting provisions is deterrence, i.e., discouraging the initiation of doubtful litigation or the assertion of unsound defenses for fear of having to pay the other side's attorney fees.

Unfortunately, however, many of the more dubious claims or defenses are asserted by parties who actually believe in them and are unlike...

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