AZ HB2409

Amends Arizona Revised Statutes section 12-341.01 to clarify that courts may award reasonable attorney fees to the successful party in any contested civil action, removing the previous limitation that awards were only available for actions arising out of contracts.

Expands the provision allowing attorney fees when a written settlement offer is rejected and the final judgment is equal to or more favorable to the offeror, applying it to all civil actions rather than only contract-based actions.

Adds a new prohibition preventing Arizona state and local governments (cities, towns, and counties) from being awarded attorney fees in actions to enforce or challenge provisions of law, regulations, or ordinances.

Maintains existing provisions requiring courts (not juries) to award attorney fees based on clear and convincing evidence that a claim or defense constitutes harassment, is groundless, and is not made in good faith.

Applies only to actions commenced on or after the effective date of the act.