LA Open Door Presbyterian Church v. Evangelical Christian Credit Union CA2/2

**Church vs. Credit Union Case Shows Importance of Contract Terms** This case involved a dispute between LA Open Door Presbyterian Church and Evangelical Christian Credit Union over employment and contract issues. The church sued the credit union claiming breach of contract, fraudulent inducement, and wrongful termination, seeking damages. However, the church eventually dropped its lawsuit voluntarily before it went to trial. Even though the case was dismissed, the credit union asked the court to make the church pay its legal fees. The court agreed and ordered the church to pay $184,288 to cover the credit union's attorney costs. When the church appealed this decision, the higher court upheld the fee award. The key was a contract clause that said the losing party would pay attorney fees. The court found this clause was broad enough to cover the credit union's defense costs, even though the case never reached a final judgment. **What this means for workers:** This case highlights how contract language can have expensive consequences. When signing employment agreements or other contracts, pay close attention to attorney fee clauses. These provisions can make you responsible for the other party's legal costs if disputes arise, even if you decide to drop your case later.