Reversal of Fortune, With Appellate Court Reversing $1,492,643.71 Fees Award.
In an interesting dispute over moneys contractually owed for home video distribution of the Steven Seagal movie “The Patriot,”
a judgment creditor won an independent creditor’s suit under Code of Civil Procedure section 708.210 et seq., with the lower court also awarding $1,492,643.71 in attorney’s fees to judgment creditor pursuant to section 701.020(c).
The Second District, Division 1, in a 3-0 unanimous decision on the fees issue, reversed in Ilshin Investment Co., Ltd. v. Buena Vista Home Entertainment, Inc., Case No. B208839 (2d Dist., Div. 1 May 13, 2011) (certified for partial publication; fees award discussion published).
Justice Chaney, writing for the reviewing court, found that no fees are authorized for recovery under the independent creditor’s suit scheme. The discretionary fee-shifting provision relied on by the trial court--section 701.020(c)--concerns procedures for enforcement of judgments by writs of execution, rather than use of the independent creditor’s suit procedure.
Big reversal of fortune on the fee front for judgment creditor in this one.
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