NY State Appellate Court Flips Stance on Attorneys’ Fees

An upstate New York appellate court reversed course over when and whether legal aid attorneys representing low-income New Yorkers can be paid by the state, deepening a split in the state’s four appellate divisions.

Overturning its own precedent, the New York Supreme Court Third Appellate Department concluded that attorneys’ fees can be awarded to plaintiffs who “prevail” in lawsuits against state agencies, even if a judge hasn’t rendered a decision on the merits of the case—a doctrine known as “catalyst theory.” The decision falls more in line with the definition of a “prevailing party” under state law, rather than relying ...