Outside Publication

Texas Exceptions to the American Rule, The Advocate

Winter 2017

Commercial litigators in Texas might often forget that the United States generally follows the “American Rule” for the recovery of attorney’s fees—i.e., each party shall bear the burden of paying their own way through court. That’s because there are several fee-shifting statutes in Texas that, unlike the general American Rule, do allow the prevailing party to recover its attorney’s fees. While the general rule in Texas does indeed follow the American Rule, certain exceptions exist, and litigants may recover attorney’s fees if specifically provided for by statute or contract. This article will discuss the most prominent Texas exceptions to the American Rule.

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