Attorneys’ Fees and Costs

In 1996, the Florida legislature changed the rules about when private individuals can get their legal fees paid by government agencies. Before, it was hard to get fees back, but now there are more opportunities for people to get their fees covered if they win a case against an agency. The new law also added more ways to get fees back if someone challenges a rule or a decision made by an agency. Overall, it’s easier now for people to get their legal costs covered if they win a case against a government agency. The new Administrative Procedure Act includes improved attorneys’ fees and costs provisions that were the result of years of discussion and compromise. This was done to make sure that everyone, including the public, has a fair chance in APA proceedings. The changes came about because there were complaints about agencies making rules that went beyond what the law allowed, and relying on unadopted policies. The legislature was frustrated and considered severe measures, but ultimately decided to make changes to the APA instead. In 1995, the leaders of both political parties in Florida wanted to stop agencies from abusing their power. Business groups said that it was really hard to challenge agency rules, and that they had to spend a lot of money on lawyers. They also said that judges almost always sided with the agencies, so it seemed pointless. The agencies said they won most of the time, but that made the lawmakers look into why. They found that the rules were unfair to the groups challenging the agencies, so they wanted to change that to make the process more fair. In 1994 and 1995, the House and Senate looked at changing some rules. They wanted to make it easier for people to challenge rules and to make sure that agencies followed the law. They tried to change the rules, but it didn’t work at first. In 1995, they tried again and the changes were approved by the legislature, but the Governor said no. Then, the Governor made a group to study the issues. In 1996, the group made some recommendations and the legislature made changes to the rules. This made it easier for people to challenge rules and for agencies to be more careful when making rules. The new APA allows for attorneys’ fees to be awarded in challenges to existing and proposed rules for the first time. If a court or administrative law judge declares a rule to be invalid, the agency may have to pay for the other party’s attorneys’ fees and costs, unless the agency can prove its actions were justified. The term substantially justified means the agency had a good reason for its actions, even if they were not ultimately correct. This is based on previous case law. If a private party is found to have participated in the proceedings for the wrong reasons, they may have to pay the agency’s attorneys’ fees. There is no limit on the award of reasonable costs, and the maximum award for attorneys’ fees is $15,000. If a private person or a state agency challenges an agency’s statement that was never formally made into a rule, and is successful, they can recover their attorney’s fees and costs. This is to discourage agencies from using unadopted rules and to make them accountable for their actions. If a party participates in a legal proceeding for a bad reason, like to harass someone or cause unnecessary delays, they can be required to pay the other party’s attorney’s fees and costs. This rule applies to state agencies too, not just private individuals. If an agency rejects a determination regarding an unadopted rule and it doesn’t meet the statutory requirements, the court can set aside the agency’s action and award attorneys’ fees to the winning party. The court can also award attorneys’ fees if the appeal was found to be frivolous or if the agency’s action was a gross abuse of its discretion. Additionally, a presiding officer can award costs and attorneys’ fees if a party or their attorney files documents for an improper purpose. Simply put, the changes made in 1996 to the law regarding attorneys’ fees and costs in APA proceedings have created a fairer system for both private individuals and state agencies. Even though agencies were initially against these changes, they have been put on notice that they must be more accountable for their actions to the people of Florida. Overall, the new law is working as intended by the legislature. In 1994 and 1995, several bills and acts were introduced in Florida regarding administrative procedures and agency rules. These included laws related to agency employee accountability and the deference given to agency interpretations of statutes. These laws were created and reviewed by a commission, which included various government officials and legal professionals. Martha J. Edenfield, an attorney specializing in administrative and environmental law, was involved in the review process. This column is from the Administrative Law Section, with William E. Williams as the chair and Robert C. Downie II as the editor. The section follows the rules of The Florida Bar, which emphasize serving the public, improving justice, and advancing the study of law.

Source: https://www.floridabar.org/the-florida-bar-journal/attorneys-fees-and-costs/