September 18, 2015
The general rule in litigation is that each side pays its own legal fees, regardless of who wins. There is no fee shifting. Exceptions to that general rule primarily exist in the form of contractual arrangements or statutes calling for the “prevailing party” to recover fees and costs. However, there is a lesser known exception to the general rule of no fee shifting that exists in the context of arbitrations. While this exception has existed for nearly 15 years, it has yet to garner the wide-spread attention that its significance demands, even as arbitration continues to increase in popularity as an alternative to costly litigation.

For an evaluation of this exception to fee shifting, please click here.