The following excerpt is from In re Sears, 102 BR 781 (Bankr. S.D. Cal. 1989):
The superior court in effect rescinded the management agreements due to the fraud of defendant. It is well settled in California that attorney's fees are recoverable in a rescission action where the contract contains a fee provision. Nevin v. Salk, 45 Cal.App.3d 331, 340, 119 Cal.Rptr. 370 (1975). The arbitration clauses in the management agreements contained an attorney fee provision which is reciprocal pursuant to California Civil Code 1717. Further, California Code of Civil Procedure 685.090 provides that costs are added to and become a part of the judgment and are included in the principal amount.
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