Feb 83 min read

No premium should be placed on the right to litigate

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Campanilla (2022/2023) CrimRev Set - Criminal Law Reviewer - Vol. I + II - Volume 1 + 2 - by Marlo

RE: Attorney’s Fees

“No premium should be placed on the right to litigate and not every winning party is entitled to an automatic grant of attorney’s fees.”- SC

Morales vs. Court of Appeals and ORTIZ, JR

G.R. No. 117228. June 19, 1997

Attorney’s Fees; The general rule is that attorney’s fees cannot be recovered as part of damages because of the policy that no premium should be placed on the right to litigate. — For the same reason, the award of attorney’s fees and litigation expenses must suffer the same fate. The award of attorney’s fees is the exception rather than the rule and counsel’s fees are not to be awarded every time a party wins a suit. The power of the court to award attorney’s fees under Article 2208 of the Civil Code demands factual, legal and equitable justification; its basis cannot be left to speculation and conjecture. The general rule is that attorney’s fees cannot be recovered as part of damages because of the policy that no premium should be placed on the right to litigate.

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Orosa vs. Court of Appeals, FCP CREDIT CORPORATION

G.R. No. 111080. April 5, 2000

Attorney’s Fees; No premium should be placed on the right to litigate and not every winning party is entitled to an automatic grant of attorney’s fees. — In the matter of attorney’s fees, petitioner avers that to prosecute and defend this case in the lower court and in the appellate court, he incurred expenses amounting to P50,000.00, and as such, attorney’s fees should be granted. We deny the claim. No premium should be placed on the right to litigate and not every winning party is entitled to an automatic grant of attorney’s fees. The party must show that he falls under one of the instances enumerated in Article 2208 of the Civil Code. This, petitioner failed to do. Furthermore, where the award of moral and exemplary damages is eliminated, so must the award for attorney’s fees he deleted.

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Questions & Answer (2022. Edition) Supreme Court Decisions (8 Bar Subjects)

Article 2208 of the Civil Code provides: In the absence of stipulation, attorney’s fees and expenses of litigation, other than judicial costs cannot be recovered except:

When exemplary damages are awarded;
When the defendant’s act or omission has compelled the plaintiff to litigate with third persons or to incur expenses to protect his interest;
In criminal cases of malicious prosecution against the plaintiff;
In case of a clearly unfounded civil action or proceeding against the plaintiff;
Where the defendant acted in gross and evident bad faith in refusing to satisfy the plaintiffs plainly valid, just and demandable claim;
In actions for legal support;
In actions for recovery of wages of household helpers, laborers and skilled workers;
In actions for indemnity under workmen’s compensation and employer’s liability laws;
In a separate civil action to recover civil liability arising from a crime;
When at least double judicial costs are awarded;
In any other case where the court deems it just and equitable that attorney’s fees and expenses of litigation should be recovered.