§ 3.5 LIMITATIONS ON ENFORCEMENT OF CONTRACTUAL FEE PROVISIONS IMPOSED BY STATUTE OR LAWS OF OTHER JURISDICTIONS

In limited circumstances, a clearly drafted attorneys' fee provision may not be enforced due to limitations imposed by statute or the law of other jurisdictions. For example, Arizona entities contracting with Nebraska entities should be wary of the public policy of the State of Nebraska, which does not allow recovery of attorneys' fees in a contract action. In Nebraska Nutrients, Inc. v. Shepherd, 626 N.W.2d 472, 516-18 (Neb. 2001), the Supreme Court of Nebraska refused to enforce a clearly drafted attorneys' fee provision in a contract that expressly stated that it...