Friday, November 18, 2005

Seventh Circuit Denies Costs as "Exorbitant" after Previously Acknowledging Entitlement to Costs

The ABA Journal eReport is reporting that the Seventh Circuit has rejected all costs sought by attorneys in a case because their statement of costs was excessive, even though the court had previously agreed that the lawyers were entitled to costs because of their adversary's frivolous appeal:

"A three-judge panel of the 7th U.S. Circuit Court of Appeals, based in Chicago, criticized a statement of costs and fees supplied by attorneys for Budget Rent A Car as "exorbitant." And as punishment, the judges denied recovery of costs altogether, even though the appeals court had ruled earlier that Budget was entitled to recover sanctions caused by what the appeals court termed a "frivolous appeal." Budget Rent A Car System Inc. v. Consolidated Equity, No. 05-3579 (Nov. 4)."

The article is worth looking at because it serves as a cautionary tale for those attorneys filing cost reports with courts. The full article is available by clicking here.


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