by Lisa White

Lisa WhiteAugust 19, 20250 comments

If I Successfully Bring a Lawsuit, Will I be Reimbursed for My Attorneys’ Fees?

One of the most common questions I hear during initial consultations with clients is whether an individual or business can recover attorneys’ fees if they prevail in a lawsuit. The answer is…it depends. Maryland generally follows the “American Rule” that each party in a lawsuit is responsible for their own attorneys’ fees, unless there is a statute allowing for fee-shifting, the parties to the lawsuit have previously entered into a contract allowing for the recovery of attorneys’ fees, or a lawsuit is brought in bad faith.

Even in these situations, one must first prevail in the lawsuit to be awarded reimbursement of attorneys’ fees.  Even if a party wins the lawsuit, in the sense of having the court find that the other side is liable or contractually obligated to the other, the court still has discretion regarding the amount of attorneys’ fees to award to the prevailing party. The court must determine that the amount of attorneys’ fees being sought is reasonable under the circumstances.

For these reasons, even if there is a statutory or contractual basis to seek reimbursement of attorneys’ fees in a lawsuit, that does not guarantee that a prevailing litigant will be reimbursed 100% of their attorneys’ fees. If there is a statutory or contractual basis to seek reimbursement of fees, it is still the judge presiding over the case that will make the final determination regarding reimbursement of attorney’s fees.

Statutory Basis for Recovering Attorney’s Fees

Maryland law allows for recovery of attorney’s fees in cases alleging violations of the Maryland Consumer Protection Act and Maryland Wage Payment and Collection Act. Attorney’s fees can also be sought in cases involving mechanic’s liens, certain landlord-tenant actions, and certain divorce and family law actions.

Contractual Basis for Recovering Attorney’s Fees

A written contract between the parties may state, within its terms, that a party to the contract can be awarded attorneys’ fees from the other party to the contract in the event of a breach of the parties’ agreement. If this type of provision is in a contract, a litigant may assert a claim for attorneys’ fees as part of the lawsuit. The party seeking reimbursement would still need to prevail on the merits of the case to recover attorneys’ fees.

Maryland Rule 1-341

Maryland Rule 1-341 allows a judge to award attorneys’ fees to a defendant if a civil lawsuit is brought in bad faith. The court assesses whether the conduct of any litigant is “without substantial justification,” in which case the court may, in its discretion, award attorney’s fees to the non-offending party.

If you are considering whether to engage in litigation, it is important to discuss your situation with an attorney to assess whether you have a good faith basis for claiming reimbursement of attorneys’ fees. None of the information provided in this article constitutes legal advice. Every situation is different and should be thoroughly reviewed by and discussed with your legal advisors.  The law regarding reimbursement of attorneys’ fees may be different than what is summarized here in states and jurisdictions other than Maryland. Please do not rely on the contents of this article as a basis for making decisions regarding your particular situation.