Aireko Construction Management Services, LLC. has won a significant ruling from the Court of Appeals of Puerto Rico regarding attorney fees in a legal dispute with Valery Cueto González. The court decided that the lower court had improperly imposed attorney fees on Aireko, which could affect how similar cases are handled in the future.
The ruling came on June 29, 2026, when the court addressed a petition from Aireko seeking to overturn a lower court's order that awarded attorney fees and costs totaling $4,051.50 to Cueto González. This decision is crucial for construction companies and others involved in legal disputes in Puerto Rico, as it clarifies the conditions under which attorney fees can be awarded.
The case began when Aireko Construction filed a lawsuit against Cueto González, which led to a series of legal battles. After an unfavorable ruling for Aireko in the lower court, Cueto González sought to recover attorney fees, arguing that Aireko had acted in bad faith throughout the litigation process.
The dispute escalated when the lower court granted Cueto González's request for attorney fees and costs. Aireko contested this decision, claiming that the lower court had abused its discretion by imposing fees without a clear finding of bad faith or frivolous conduct on Aireko's part. The case was then brought before the Court of Appeals under docket number TA2026CE00640.
The Court of Appeals, led by Judge Adames Soto, reviewed the arguments presented by both parties. The court ultimately ruled in favor of Aireko, stating, "the lower court did not have the authority to impose attorney fees without a determination of bad faith." This ruling is significant as it emphasizes the necessity for a clear finding of misconduct before imposing such financial penalties.
The court clarified that while attorney fees can be awarded in cases of bad faith or frivolous litigation, such determinations must be explicitly stated in the court's ruling. The court noted that the lower court did not make such a determination in this case, leading to the decision to reverse the fee award.
This ruling has implications for future cases in Puerto Rico, particularly regarding the standards for awarding attorney fees. It reinforces the idea that courts must provide clear justification for such financial penalties, ensuring that parties are not unfairly burdened with additional costs without proper cause.
Looking ahead, this ruling may influence how attorneys approach cases involving potential fee requests. Legal professionals may need to ensure that they can substantiate claims of bad faith or frivolous conduct if they seek to recover attorney fees in future litigation.
As for the possibility of further appeals, it remains unclear if Cueto González will seek to challenge this ruling. However, the court's decision stands as a significant precedent in the realm of attorney fees in Puerto Rico.