California Codes, Civil Code - CIV, Division 4 — General Provisions, Part 6 — Works of Improvement, Title 2 — Private Works of Improvement, Chapter 5 — Stop Payment Notice, Article 5 — Enforcement of Claim Stated in Stop Payment Notice, Section 8558

(a) In an action to enforce payment of the claim stated in a bonded stop payment notice, the prevailing party is entitled to a reasonable attorney’s fee in addition to costs and damages.

(b) The court, on notice and motion by a party, shall determine who is the prevailing party or that there is no prevailing party for the purpose of this section, regardless of whether the action proceeds to final judgment. The prevailing party is the party that recovers greater relief in the action, subject to the following limitations:

(1) If the action is voluntarily dismissed or dismissed pursuant to a settlement, there is no prevailing party.

(2) If the defendant tenders to the claimant the full amount to which the claimant is entitled, and deposits in court for the claimant the amount so tendered, and alleges those facts in the answer and the allegation is determined to be true, the defendant is deemed to be the prevailing party.

Notes

Requires reasonable attorney’s fees for the prevailing party in a bonded stop-payment-notice enforcement action and lets the court determine prevailing status. Establishes no prevailing party after voluntary dismissal or settlement, but deems the defendant prevailing after a full tender and court deposit when the pleaded tender facts are found true.

Use as reference

Disclaimer: Codes available on Lexinter may not reflect the most current laws in your jurisdiction. We make no warranties regarding the accuracy, completeness, or adequacy of the information provided. Always verify the status of any code with your state legislature or official government sources before relying on it for legal purposes.