What is the test for determining whether the government has a reasonable basis to argue its position?

MultiRegion, United States of America

The following excerpt is from Armster v. U.S. Dist. Court for Cent. Dist. of California, 817 F.2d 480 (9th Cir. 1987):

In reaching our conclusion, "we consider the totality of the circumstances present prior to and during litigation.... The government must demonstrate that its position had a reasonable basis both in law and in fact." Underwood v. Pierce, 761 F.2d 1342, 1345-46 (9th Cir.1985) (citations omitted).

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