§ 2.7.0 "SUCCESSFUL PARTY"

• Jurisdiction: Arizona

Under A.R.S. § 12-341.01(A), an award of attorneys' fees is permitted only to the "successful party" in litigation otherwise falling within the statute. At the trial court level, this requirement means that it is the "ultimate prevailing party in an underlying action arising out of contract" that may be awarded its attorneys' fees. Austin v. Austin, 237 Ariz. 201, 210-11, ¶ 34, 348 P.3d 897, 906-07 (App. 2015); U.S. Insulation, Inc. v. Hilro Constr. Co., 146 Ariz. 250, 259, 705 P.2d 490, 499 (App. 1985). The determination of who qualifies as the successful party for purposes of an attorneys' fee award under the statute is within the sole discretion of the trial court. Berry v. 352 E. Virginia, LLC, 228 Ariz. 9, 13, ¶ 21, 261 P.3d 784, 788 (App. 2011). Partial success does not preclude a discretionary award of attorneys' fees. Id. at 14, ¶ 24, 261 P.3d at 789. Accordingly, the court may determine that a party is the successful party even when the recovery finally obtained is significantly reduced from the recovery sought. Lee v. ING Inv. Mgmt., LLC, 240 Ariz. 158, 161, ¶ 10, 377 P.3d 355, 358 (App. 2016) (plaintiff was deemed the successful party even when the court rejected the plaintiff's claim for treble damages under the wage statute, thereby reducing plaintiff's potential recovery by two-thirds). Moreover, a party's own breach of contract does not necessarily preclude a determination that it is the prevailing party. Murphy Farrell Dev., LLP v. Sourant, 229 Ariz. 124, 133, ¶ 34, 272 P.3d 355, 364 (App. 2012). Further, "attorneys' fees may be awarded at more than one point during the course...