August 7, 2026

Fees on fees

The portion of the award for legal fees and costs incurred by the defendant in prosecuting a claim for an award of attorneys' fees - so-called "fees on fees," for services performed to recover a fee award - generally must be based upon a specific contractual provision or statute. Where a contract provides for indemnification for "legal costs and charges, including counsel fees," the Appellate Division has determined that it does not provide for fees on fees in the absence of unmistakably clear intent regarding their recovery. However, both the Court of Appeals and the Appellate Division have authorized the inclusion of fees for prosecuting or defending an appeal dealing with an award of attorneys' fees.

21st Mtge. Corp. v Nweke, NY Slip Op 04826 (2d Dep't August 5, 2026)

Here is the decision.