Bodero & Associates v. Gorman CA1/5

BACKGROUND

In 2020, Defendant retained plaintiff Bodero & Associates, Inc. (Plaintiff) to perform accounting and related services. The contract signed by the parties (Services Contract) included a provision for prevailing party attorney fees. In 2021, Plaintiff brought this action for breach of contract. In March 2023, the parties entered into a settlement agreement (Settlement Agreement). The Settlement Agreement provides that Defendant will pay Plaintiff $45,000 in three installments, following delivery

1 of certain records to Defendant. The Settlement Agreement further provides, “Upon any breach by [Defendant] of the payment terms . . . , [Plaintiff] shall have the right to request entry of monetary judgment in the full amount of [Defendant’s] liability, FIFTY-THREE THOUSAND DOLLARS ($53,000).” With respect to attorney fees, the Settlement Agreement provides: “12. ATTORNEYS’ FEES AND DAMAGES. If any litigation is initiated to interpret or enforce the terms of this Agreement, the prevailing party shall recover reasonable attorneys’ fees, experts’ fees, and costs. Upon any material breach of this Agreement, the non-defaulting party shall be entitled to all resulting damages in…