Can You Make the Other Party Pay Your Attorney’s Fees in NC?
Many people involved in a civil dispute assume that if they win their case, the other side will automatically have to pay their attorney’s fees. In North Carolina, that is usually not the case. However, there are certain situations where a court may require one party to pay the other party’s legal fees. Understanding when this may apply can help you better evaluate your options if you are involved in a civil lawsuit.
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Can You Make the Other Side Pay Your Attorney’s Fees?
Our civil litigation clients often ask us if they get their attorney fees back from the opposing party when the case is over. The short answer is maybe.
In North Carolina, the default rule is simple: each side pays its own lawyer. This is often surprising to people who assume the loser automatically pays the winner’s fees. That’s not how it works here. To make the other side cover your attorney’s fees, you need specific facts and specific legal authorization.
There are three main ways that can happen.
When a Statute Allows Attorney’s Fees
First, when a specific law or statute states that getting your legal fees back is available for your type of case. This occurs in certain situations, such as when a claim or defense had no real legal or factual basis, in some lower value personal injury or property damage cases where a defendant refused to settle, in unfair or deceptive trade practice cases with willful misconduct, and in many construction lien or payment bond disputes. Each category has its own conditions and limits.
When a Contract Allows Fee Recovery
Second, a written contract may allow the winning party to recover legal fees. Not all fee clauses are enforceable, but many business-to-business agreements with mutual (reciprocal) fee provisions are. So are common provisions in promissory notes and guarantees up to a capped percentage. However, the exact wording and signatures on such documents are very important for creating this opportunity to recoup attorney fees. As with most legal documents, it’s wise to have a lawyer review the exact contract language.
When the Court Awards Fees as a Sanction
Third, courts can impose fees as a sanction when someone abuses the litigation process, for example by acting in bad faith, filing frivolous claims, unreasonably causing delay and expense, or willfully violating discovery rules.
Quick Overview of When Attorney’s Fees May Be Awarded
The situations discussed above represent the most common ways attorney’s fees may be awarded in North Carolina civil cases. The table below provides a quick overview of these circumstances.
| Situation | How Attorney’s Fees May Be Awarded | Example |
| Statutory Authorization | A specific North Carolina law allows the prevailing party to recover attorney’s fees. | Certain personal injury or property damage cases where a defendant unreasonably refused to settle, unfair or deceptive trade practice claims, or construction lien disputes. |
| Contract Provision | A written contract allows the prevailing party to recover attorney’s fees. | Business contracts, promissory notes, or guarantees that include enforceable attorney fee clauses. |
| Court Sanctions | A judge may order one party to pay the other party’s attorney’s fees as a penalty for misconduct during litigation. | Filing frivolous claims, acting in bad faith, causing unnecessary delays, or violating discovery rules. |
When Fees Are Available, What Should You Expect?
Even if a statute or contract allows fee shifting, a fee award is not automatic. Judges usually must decide whether you’re legally entitled to fees and, if so, what amount is reasonable.
The “prevailing party” is typically the one who won on the main issues, but if both sides win and lose some claims, the court may reduce or deny fees to reflect mixed results.
Courts look closely at whether the requested fees are reasonable. They consider the time and labor required, how complex the issues were, the results achieved compared to what was at stake, the customary rates in the local market, the attorneys’ experience, and whether the work was efficient. Judges will trim hours they view as excessive, duplicative, or unrelated to the claims you actually won.

Many fee laws and contract provisions include specific conditions or caps. For example, some personal injury or property damage cases limit the amount of fees and require proof that the defendant unreasonably refused to settle and that your final recovery exceeded a timely pretrial offer. Debt instruments like notes or guaranties often cap fees at a percentage of the outstanding balance and require a short written notice giving the borrower a chance to pay before fees accrue. Business contracts generally must make fee recovery available to either side, and some money-only disputes tie fee awards to the amount in controversy.
Planning Ahead if Attorney’s Fees May Be Available
If fees might be available, it helps to plan ahead. Keep detailed time records that show dates, tasks, and time spent. Be reasonable in settlement talks and save correspondence that shows your efforts and any offers exchanged. Make sure your court filings identify the legal or contractual basis for fees. If you’re relying on a contract, confirm the fee clause is mutual and properly signed. If you’re enforcing a note or guaranty, make sure the required notice letter goes out before you seek fees.
The Process: How to Ask the Court for Attorney’s Fees
If attorney’s fees may be available in your case, there is a specific process for requesting them from the court. This process usually involves identifying the legal basis for fees early in the case, documenting the legal work performed, and formally asking the court to award fees after the case concludes.
Identifying the Basis for Attorney’s Fees
The path to a fee award typically begins well before you win your case. Early on, identify whether you have a statutory or contractual basis for fees, or whether your request would be based on sanctions. Your attorney will then preserve the issue in your court filings when appropriate and maintain detailed billing records throughout the case, including time entries, hourly rates, and who performed each task.
Filing a Motion for Attorney’s Fees
After you win your case, your lawyer may file a motion asking the court to award attorney’s fees to be paid by the other side. This motion explains the legal basis for the request and includes a sworn statement detailing the time spent, the work performed, hourly rates, why the work was necessary, and the qualifications of the attorneys involved.
The motion may include supporting materials such as the contract or note if you rely on a fee clause, any required notice letter for debt instruments, key settlement communications relevant to statutory conditions, and the judgment itself. The opposing party can respond and argue that you are not entitled to fees or that your request is too high.

Court Review and Fee Determination
The court may hold a hearing where your attorney will justify the hours and rates, the necessity of the work, and how the statute or contract applies. The judge will then issue a written order with specific findings on whether you are entitled to fees and the reasonableness of the amount awarded. Fee awards are typically added to the judgment and taxed as part of costs, and they are collected through the usual judgment collection process.
Attorney’s Fees in Settlement or Sanctions
If you are negotiating a settlement, you can agree on who pays fees at any time. This can sometimes be a more efficient path than filing a fee motion after the case ends. If attorney’s fees are sought as a sanction for misconduct by the opposing party or their counsel, the court will follow procedures specific to the sanctioning authority being used.
Frequently Asked Questions About Attorney’s Fees in North Carolina
Does the losing party pay attorney’s fees in North Carolina?
Not usually. In North Carolina, the general rule is that each party pays their own attorney’s fees. A court will only require one party to pay the other party’s legal fees when a statute, contract provision, or court sanction specifically allows it.
What is the “prevailing party” in a lawsuit?
The prevailing party is typically the party who wins on the main issues in the case. However, if both sides win and lose certain claims, a judge may reduce or deny attorney’s fees depending on the overall outcome.
Can a contract require the losing party to pay attorney’s fees?
Yes. Many business contracts, promissory notes, and guarantees include provisions allowing the prevailing party to recover attorney’s fees. Courts will review the exact wording of the contract to determine whether the provision is enforceable.
Can a judge award attorney’s fees as a penalty?
In some cases, yes. Courts may order one party to pay the other party’s attorney’s fees as a sanction for misconduct during litigation, such as filing frivolous claims, acting in bad faith, or violating discovery rules.
How does a court decide if attorney’s fees are reasonable?
Judges evaluate several factors when determining reasonable attorney’s fees. These may include the time and labor required, the complexity of the case, the results obtained, the attorney’s experience, and typical legal rates in the local market.
Can attorney’s fees be negotiated during a settlement?
Yes. During settlement negotiations, the parties may agree on who will pay attorney’s fees as part of the final resolution. In some cases, this can avoid the need for a separate motion asking the court to award fees.
Discuss Your Civil Litigation Case With Our Attorneys
Attorney Hank Doyle has been handling civil litigation cases in Wake Forest, Cary, Raleigh, and surrounding cities in North Carolina since 1995. When you consult with us about your situation or a potential civil lawsuit, we carefully examine the facts to determine whether the opportunity to recover attorney’s fees may exist.
At The Doyle Law Offices, P.A., we explore every available option to help our clients achieve the best possible outcome, including pursuing recovery of attorney’s fees when appropriate.
If you are facing the potential of a civil lawsuit, either as a plaintiff or defendant, call us at (984) 235-1067 or contact us through our website to schedule a consultation and discuss your situation.
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