Prevailing Plaintiff Not Entitled to Fees for Defending Counterclaim

On March 20, 2025, Justice Patel of the New York County Commercial Division issued a decision in Dominion Capital LLC v. HUB Cyber Sec. Ltd., 2025 NY Slip Op. 30968(U), holding that a prevailing plaintiff was not entitled to fees for defending a counterclaim, explaining:

Plaintiff seeks attorneys’ fees, costs, and disbursements pursuant to two provisions of the Dominion Note. . . . .

Defendant . . . argues that Plaintiff is not entitled to fees for responding to its counterclaim in this action. The Court refers to is Decision and Order dated August 7, 2024, whereby the Court dismissed Defendant’s Amended Counterclaim for tortious interference with prospective contractual and business relations pursuant to CPLR § 3211(a)(7). Here, the Court determines that fees incurred in connection with Defendant’s Counterclaim are separate and apart from Plaintiff’s breach of contract action. Put differently, the adjudication of Plaintiff’s entitlement to payment under the Dominion Note was not dependent on the adjudication of Defendant’s Counterclaim.

(Internal citations omitted).

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