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Roberts rules in favor of business in his 1st Supreme Court opinion
This is an archived article that was published on sltrib.com in 2005, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

U.S. Chief Justice John Roberts's first Supreme Court opinion produced a narrow but unanimous victory for businesses, limiting the ability of consumers to win attorneys' fees in suits against companies.

Roberts wrote a nine-page opinion that said Franklin Resources Inc. and another company don't have to pay the legal fees two New Mexico consumers incurred in a pre-trial skirmish over the proper forum for their lawsuit.

The court nonetheless refused to impose sharp limits on fees urged by the Bush administration, reading a federal statute as placing ''no heavy thumb on either side of the scales.''

The dispute concerned a law that lets defendants shift lawsuits from state to federal court in some circumstances. Businesses often use that approach in the hope of getting a more favorable hearing before a federal judge and jury.

The issue for Roberts and the court was whether legal fees generally should go to plaintiffs who successfully argue against a bid to move a case into federal court. Roberts said fees should be awarded only when a litigant ''lacked an objectively reasonable basis'' for arguing in favor of a federal forum.

The decision upheld a lower court ruling favoring Franklin and Century-National Insurance Co. The two companies are fighting a class-action lawsuit filed by Gerald and Juana Martin over auto loans and insurance.

The Bush administration had urged the court to allow fees only when the bid to shift is ''frivolous, unreasonable or without foundation.'' Roberts rejected that argument.

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