American rule on costs
The principle that each side pays its own lawyer whatever the result, unless a statute or contract says otherwise. It is one reason contingency fees work well in the US: losing usually does not mean paying the other side's lawyer.
Frequently asked questions
What is American rule on costs?
The principle that each side pays its own lawyer whatever the result, unless a statute or contract says otherwise. It is one reason contingency fees work well in the US: losing usually does not mean paying the other side's lawyer.
Where is the term used?
Mainly in United States.