Magleby v. Kevin
296 P.3d 400
Idaho2013Background
- Maglebys contracted with Idaho Trademark Properties, LLC and Jenks Brothers, Inc. to manage construction and interior design of a cabin, which was later sold to the Garns; a dispute over payment led to a materialmen’s lien and suit for lien foreclosure, breach, and unjust enrichment.
- Maglebys requested attorney fees: $2,500 if uncontested and actual fees if contested; district court later defaulted ITP/Jenks and awarded only $2,500 in attorney fees.
- Defendants withdrew counsel; default judgment against ITP/Jenks included the $2,500 cap and costs but not actual fees incurred.
- Maglebys argued for actual fees incurred prior to default; district court held I.R.C.P. 54(e)(4) capped fees at $2,500 and denied further relief; motion to reconsider/alter judgment denied.
- After foreclosure attempt and Wells Fargo TRO, Garns paid the judgment; Maglebys sought post-judgment fees totaling $6,802.69; district court awarded $990 against Garns and denied fees against ITP/Jenks.
- On appeal, Idaho Supreme Court vacated the $2,500 cap, held post-judgment fees under I.C. § 12-120(5) may be recoverable from ITP/Jenks, vacated/ remanded related to fee amounts, and awarded appellate fees to Maglebys against ITP/Jenks; affirmed costs on appeal to Maglebys.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Is I.R.C.P. 54(e)(4) a cap on default-judgment attorney fees when a defendant appears and later default occurs? | Maglebys: cap does not apply; they pled actual fees if contested. | ITP/Jenks: rule requires a fixed dollar amount stated in the complaint. | Rule does not bar actual-fee recovery; remand to determine reasonable pre-default fees. |
| Are Maglebys entitled to post-judgment attorney fees against ITP/Jenks under I.C. § 12-120(5)? | Maglebys: post-judgment fees follow from earlier award under §12-120; should be recoverable. | ITP/Jenks: no post-judgment fees unless underlying judgment cites §12-120 basis. | Maglebys entitled to reasonable post-judgment fees under §12-120(5); remand to fix amount. |
| Are Maglebys entitled to post-judgment fees incidental to foreclosure against Garns under §45-513? | Fees incurred in foreclosure and in countering Wells Fargo should be recoverable. | Garns: district court correctly limited to $990; not liable for other costs. | District court erred; fees incidental to lien foreclosure must be determined reasonable and may exceed $990. |
| Are Maglebys entitled to attorney fees on appeal against ITP/Jenks under §12-120(3), and are Garns liable under §12-121? | Entitled to fees on appeal against ITP/Jenks; commercial transaction supports recovery. | Garns seek §12-121 relief; not applicable; §45-513 not for appellate fees. | Award reasonable appellate fees against ITP/Jenks under §12-120(3); Garns not liable under §12-121; §45-513 not applicable on appeal. |
Key Cases Cited
- Eighteen Mile Ranch, LLC v. Nord Excavating & Paving, Inc., 141 Idaho 716 (2005) (default-fee rule not requiring fixed dollar in complaint; notice to defendant of liability)
- Franklin Bldg. Supply Co. v. Sumpter, 139 Idaho 846 (2004) (fees and costs incidental to foreclosing a materialmen’s lien; award limits)
- BECO Const. Co., Inc. v. J-U-B Engineers Inc., 149 Idaho 294 (2010) (appeals fees may be awarded to secure reasonable fee amount; entitlement on appeal)
- Eighteen Mile Ranch, LLC v. Nord Excavating & Paving, Inc., 141 Idaho 716 (2005) (see above)
- Stonebrook Const., LLC v. Chase Home Fin., LLC, 152 Idaho 927 (2012) (attorney fees not available on appeal when §45-513 applies)
- Evco Sound & Elec., Inc. v. Seaboard Sur. Co., 148 Idaho 357 (2009) (fees not available on appeal under §12-121 when §45-513 applies)
- Hendrix v. Gold Ridge Mines, 56 Idaho 326 (1936) (historical note on attorney-fee awards)