Ariz. Rev. Stat. § 44-2083 – Sanctions for abusive litigation

A. In any private action arising under this chapter, on final adjudication of the action, unless the parties stipulate otherwise, the court shall include in the record specific findings regarding compliance by each party and each attorney representing any party with each requirement of rule 11(b) of the Arizona rules of civil procedure or any applicable federal or other jurisdictional counterpart to the rules as to any complaint, responsive pleading or dispositive motion. If the federal or other jurisdictional rules of civil procedure do not have a counterpart to rule 11(b) of the Arizona rules of civil procedure, rule 11(b) of the Arizona rules of civil procedure applies.
B. If the court makes a finding under subsection A that a party or attorney violated any requirement of rule 11(b) of the Arizona rules of civil procedure or any federal or other jurisdictional counterpart to the rules as to any complaint, responsive pleading or dispositive motion, the court shall impose sanctions on that party or attorney in accordance with rule 11 of the Arizona rules of civil procedure or any federal or other jurisdictional counterpart to the rules. Before making a finding that any party or attorney has violated the applicable rules, the court shall give that party or attorney notice and an opportunity to respond.
C. Subject to subsections D and E, for the purposes of subsection B, the court shall adopt a presumption that the appropriate sanctions for:
1. 1. Failure of any responsive pleading or dispositive motion to comply with any requirement of rule 11(b) of the Arizona rules of civil procedure or any applicable federal or other jurisdictional counterpart to the rules is an award to the opposing party of reasonable attorney fees and other expenses incurred as a direct result of the violation.
2. 2. Substantial failure of any complaint to comply with any requirement of rule 11(b) of the Arizona rules of civil procedure or any federal or other jurisdictional counterpart to the rules is an award to the opposing party of reasonable attorney fees and other expenses incurred in the action.
D. The presumption prescribed in subsection C may be rebutted only on proof by the party or attorney against whom sanctions are to be imposed that either of the following applies:
1. 1. The award of attorney fees and other expenses will impose an unreasonable burden on that party or attorney and would be unjust, and the failure to make an award would not impose a greater burden on the party in whose favor sanctions are to be imposed.
2. 2. The violation of rule 11(b) of the Arizona rules of civil procedure or federal or other jurisdictional counterpart to the rules was de minimis.
E. If the party or attorney against whom sanctions are to be imposed meets the burden prescribed by subsection D, the court shall award the sanctions that the court deems appropriate pursuant to rule 11 of the Arizona rules of civil procedure or any applicable federal or other jurisdictional counterpart to the rules.