Attorney Fees Clause Law and Legal Definition

An attorney fees clause in a contractual provision defines who will pay the attorney fees in the event of a litigation or contract dispute. Generally, according to an attorney fees clause the loser reimburse the prevailing party's attorney fees. If the attorney fee clause is left out in a contract, then you will be required to pay all the legal costs associated with a legal dispute which arises between you and the other parties to the contract. The following is an example of an attorney fee clause:

"In the event of litigation relating to the subject matter of this Agreement, the non-prevailing party shall reimburse the prevailing party for all reasonable attorney fees and costs resulting therefrom.”