Opinion ID: 2570402
Heading Depth: 1
Heading Rank: 3

Heading: state law is applicable in determining interest on attorney fees.

Text: The first issue is whether federal or state law governs in determining when interest on a judgment applies. Stanley asserts that federal precedent is controlling, and that federal authority provides for interest on attorney fees from the date of the original judgment, December 9, 1994, even though the amount of attorney fees was not determined at that time. McDaniel contends that Idaho law should apply because this action was brought in state court. The precise issue presented in this case has not been decided by this Court. However, in Stobie v. Potlatch Forests, Inc., 95 Idaho 666, 671, 518 P.2d 1, 6 (1973), the Court made clear that procedural matters would be governed by Idaho law even though the claim was made under federal law. Id. at 668 n. 2, 518 P.2d 1. In denying a petition for rehearing, the Court was explicit: However, this Court is only required to apply federal substantive law. Id. at 671, 518 P.2d 1; (citing Central Vermont R. Co. v. White, 238 U.S. 507, 35 S.Ct. 865, 59 L.Ed. 1433 (1915)). Procedural law is governed by state practice. Id. at 671, 518 P.2d 1. The application of state law to determine interest issues is consistent with the analysis in Fontaine v. Ebtec Corp., 415 Mass. 309, 613 N.E.2d 881 (1993), in which the Massachusetts court applied state law in determining interest to be awarded on a judgment vindicating a federal claim. The court in Fontaine noted that federal courts apply a federal statute determining interest on state law claims heard in the federal court: The Federal courts treat post-judgment interest on state law claims as a matter of procedure governed by Federal statute. Fontaine, 415 Mass. at 320, 613 N.E.2d at 892. State law is applicable in considering Stanley's claim for interest on the attorney fees ultimately awarded in this case.