Thursday, September 07, 2006

A Step Forward for Loser Pays in Delaware

In July of this year, Governor Minner signed House Bill 454 into law. This law mandates mediation and a Trial before a Master if mediation fails, in suits brought before Chancery for deed restriction enforcement.

AND, it contains a loser pay provision! Woot!

Interestingly, not only does it allow for the loser to pay, it presumes it. Look at the language of that part here:

The nonprevailing party at a trial held pursuant to the provisions of this section must pay the prevailing party's attorney fees and court costs, unless the Court finds that enforcing this subsection would result in an unfair, unreasonable, or harsh outcome

Now, people will be encouraged to act (and litigate) in good faith. Well, at least as far as this type of case.

This new section is 10 Del.C. 348.

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