Sooner Builders & Investments, Inc. v. Nolan Hatcher Construction Services, L.L.C.

2007 OK 50 | Supreme Court of Oklahoma | 2007

modifiedCited 54 timesBATTLE_TESTEDTexas
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What This Case Means for Subcontractors

Sooner Builders sued Hatcher Construction for unpaid subcontract work on three Walgreens projects in Oklahoma. The case went to arbitration, and the arbitrator awarded money to Sooner but refused to award attorney fees despite a contract clause requiring the losing party to pay them. The Oklahoma Supreme Court sided with Sooner and ordered the district court to enforce the attorney fees clause, ruling that arbitrators cannot ignore clear contractual fee provisions.

Key Takeaways

  • Always include prevailing party attorney fee clauses in your subcontracts—courts will enforce them even if arbitrators try to ignore them.
  • If an arbitrator denies attorney fees when your contract clearly allows them, you can challenge the award in district court under Oklahoma's Uniform Arbitration Act.
  • Document your contract terms on fee-shifting carefully and reference them explicitly during arbitration proceedings to protect your right to recover legal costs if you win.

The arbitrator manifestly disregarded the parties' agreement on attorney fees.

Supreme Court of Oklahoma, 2007

Frequently Asked Question

Can I recover attorney fees if I win an arbitration against a contractor who owes me money?

Yes, if your subcontract includes a prevailing party attorney fee clause. Even if the arbitrator denies fees, you can ask the district court to vacate or modify the award. Oklahoma courts will enforce clear contractual fee provisions that arbitrators try to ignore.

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