US Can Be Held Liable For Insurer Fees: 7th Circ.

Law360, New York (February 22, 2010, 3:49 PM EST) -- A federal appellate court has reversed a lower court's decision to grant fees to engineering surveying company Thouvenot Wade & Moerchen Inc., but said such an award under the Equal Access to Justice Act can include fees incurred by a party's liability insurer.

In a decision Thursday, a three-judge panel of the U.S. Court of Appeals for the Seventh Circuit said the federal government had a “substantial” — if not winning — Federal Housing Act case, so Thouvenot Wade & Moerschen should not have been awarded...
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