Rossa v. D.L. Falk Construction, Inc.
Annotate this CaseIn 2006, a jury awarded plaintiffs for breach of contract, and the trial court awarded plaintiffs costs and attorney and expert witness fees. Defendant appealed the judgment. At issue on appeal was whether Cal. Rules of Court, rule 8.278's reference to "the cost to obtain a letter of credit" extended to the interest expense incurred by an appellant to borrow funds to secure a letter of credit that was obtained to secure an appeal bond posted to stay enforcement of a money judgment during the pendency of the appeal. The court adopted a restrictive meaning of the reference and held that rule 8.278(d)(1)(F) did not authorize an award of costs for interest expenses and fees incurred to borrow funds to deposit as security for a letter of credit that was procured to secure an appeal bond. Accordingly, the court affirmed the judgment of the Court of Appeal.
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