BUCKHANNON BOARD AND CARE HOME, INC., et al., PETITIONERS
v. WEST VIRGINIA DEPARTMENT OF HEALTH AND
HUMAN RESOURCES et al.
[May 29, 2001]
Chief Justice Rehnquist delivered
the opinion of the Court.
Numerous federal statutes allow courts to
award attorney's fees and costs to the "prevailing
party." The question presented here is whether this
term includes a party that has failed to secure a judgment
on the merits or a court-ordered consent decree, but has
nonetheless achieved the desired result because the lawsuit
brought about a voluntary change in the defendant's conduct.
We hold that it does not.
Buckhannon Board and Care Home, Inc., which
operates care homes that provide assisted living to their
residents, failed an inspection by the West Virginia Office
of the State Fire Marshal because some of the residents
were incapable of "self-preservation" as defined
under state law. See W. Va. Code §§16-5H-1,
16-5H-2 (1998) (requiring that all residents of residential
board and care homes be capable of "self-preservation,"
or capable of moving themselves "from situations
involving imminent danger, such as fire"); W. Va.
Code of State Rules, tit. 87, ser. 1, §14.07(1) (1995)
(same). On October 28, 1997, after receiving cease and
desist orders requiring the closure of its residential
care facilities within 30 days, Buckhannon Board and Care
Home, Inc., on behalf of itself and other similarly situated
homes and residents (hereinafter petitioners), brought
suit in the United States District Court for the Northern
District of West Virginia against the State of West Virginia,
two of its agencies, and 18 individuals (hereinafter respondents),
seeking declaratory and injunctive relief1 that the "self-preservation"
requirement violated the Fair Housing Amendments Act of
1988 (FHAA), 102 Stat. 1619, 42 U. S. C. §3601 et
seq., and the Americans with Disabilities Act of 1990
(ADA), 104 Stat. 327, 42 U. S. C. §12101 et seq.
Respondents agreed to stay enforcement of
the cease and desist orders pending resolution of the
case and the parties began discovery. In 1998, the West
Virginia Legislature enacted two bills eliminating the
"self-preservation" requirement, see H. R. 4200,
I 1998 W. Va. Acts 983-986 (amending regulations); S.
627, II 1998 W. Va. Acts 1198-1199 (amending statute),
and respondents moved to dismiss the case as moot. The
District Court granted the motion, finding that the 1998
legislation had eliminated the allegedly offensive provisions
and that there was no indication that the West Virginia
Legislature would repeal the amendments.2
Petitioners requested attorney's fees as
the "prevailing party" under the FHAA, 42 U.
S. C. §3613(c)(2) ("[T]he court, in its discretion,
may allow the prevailing party ... a reasonable attorney's
fee and costs"), and ADA, 42 U. S. C. §12205
("[T]he court ... , in its discretion, may allow
the prevailing party ... a reasonable attorney's fee,
including litigation expenses, and costs"). Petitioners
argued that they were entitled to attorney's fees under
the "catalyst theory," which posits that a plaintiff
is a "prevailing party" if it achieves the desired
result because the lawsuit brought about a voluntary change
in the defendant's conduct. Although most Courts of Appeals
recognize the "catalyst theory,"3 the Court
of Appeals for the Fourth Circuit rejected it in S-1 and
S-2 v. State Bd. of Ed. of N. C., 21 F. 3d 49, 51 (1994)
(en banc) ("A person may not be a `prevailing party'
... except by virtue of having obtained an enforceable
judgment, consent decree, or settlement giving some of
the legal relief sought"). The District Court accordingly
denied the motion and, for the same reason, the Court
of Appeals affirmed in an unpublished, per curiam opinion.
Judgt. order reported at 203 F. 3d 819 (CA4 2000).
To resolve the disagreement amongst the
Courts of Appeals, we granted certiorari, 530 U. S. 1304
(2000), and now affirm.
In the United States, parties are ordinarily
required to bear their own attorney's fees--the prevailing
party is not entitled to collect from the loser. See Alyeska
Pipeline Service Co. v. Wilderness Society, 421 U. S.
240, 247 (1975). Under this "American Rule,"
we follow "a general practice of not awarding fees
to a prevailing party absent explicit statutory authority."
Key Tronic Corp. v. United States, 511 U. S. 809, 819
(1994). Congress, however, has authorized the award of
attorney's fees to the "prevailing party" in
numerous statutes in addition to those at issue here,
such as the Civil Rights Act of 1964, 78 Stat. 259, 42
U. S. C. §2000e-5(k), the Voting Rights Act Amendments
of 1975, 89 Stat. 402, 42 U. S. C. §1973l(e), and
the Civil Rights Attorney's Fees Awards Act of 1976, 90
Stat. 2641, 42 U. S. C. §1988. See generally Marek
v. Chesny, 473 U. S. 1, 43-51 (1985) (Appendix to opinion
of Brennan, J., dissenting).4
In designating those parties eligible for
an award of litigation costs, Congress employed the term
"prevailing party," a legal term of art. Black's
Law Dictionary 1145 (7th ed. 1999) defines "prevailing
party" as "[a] party in whose favor a judgment
is rendered, regardless of the amount of damages awarded
the court will award attorney's fees to the prevailing
party>. -- Also termed successful party." This
view that a "prevailing party" is one who has
been awarded some relief by the court can be distilled
from our prior cases.5
In Hanrahan v. Hampton, 446 U. S. 754, 758
(1980) (per curiam), we reviewed the legislative history
of §1988 and found that "Congress intended to
permit the interim award of counsel fees only when a party
has prevailed on the merits of at least some of his claims."
Our "[r]espect for ordinary language requires that
a plaintiff receive at least some relief on the merits
of his claim before he can be said to prevail." Hewitt
v. Helms, 482 U. S. 755, 760 (1987). We have held that
even an award of nominal damages suffices under this test.
See Farrar v. Hobby, 506 U. S. 103 (1992).6
In addition to judgments on the merits,
we have held that settlement agreements enforced through
a consent decree may serve as the basis for an award of
attorney's fees. See Maher v. Gagne, 448 U. S. 122 (1980).
Although a consent decree does not always include an admission
of liability by the defendant, see, e.g., id., at 126,
n. 8, it nonetheless is a court-ordered "chang[e]
[in] the legal relationship between [the plaintiff] and
the defendant." Texas State Teachers Assn. v. Garland
Independent School Dist., 489 U. S. 782, 792 (1989) (citing
Hewitt, supra, at 760-761, and Rhodes v. Stewart, 488
U. S. 1, 3-4 (1988) (per curiam)).7 These decisions, taken
together, establish that enforceable judgments on the
merits and court-ordered consent decrees create the "material
alteration of the legal relationship of the parties"
necessary to permit an award of attorney's fees. 489 U.
S., at 792-793; see also Hanrahan, supra, at 757 ("[I]t
seems clearly to have been the intent of Congress to permit
. . . an interlocutory award only to a party who has established
his entitlement to some relief on the merits of his claims,
either in the trial court or on appeal" (emphasis
added)).
We think, however, the "catalyst theory"
falls on the other side of the line from these examples.
It allows an award where there is no judicially sanctioned
change in the legal relationship of the parties. Even
under a limited form of the "catalyst theory,"
a plaintiff could recover attorney's fees if it established
that the "complaint had sufficient merit to withstand
a motion to dismiss for lack of jurisdiction or failure
to state a claim on which relief may be granted."
Brief for United States as Amicus Curiae 27. This is not
the type of legal merit that our prior decisions, based
upon plain language and congressional intent, have found
necessary. Indeed, we held in Hewitt that an interlocutory
ruling that reverses a dismissal for failure to state
a claim "is not the stuff of which legal victories
are made." 482 U. S., at 760. See also Hanrahan,
supra, at 754 (reversal of a directed verdict for defendant
does not make plaintiff a "prevailing party").
A defendant's voluntary change in conduct, although perhaps
accomplishing what the plaintiff sought to achieve by
the lawsuit, lacks the necessary judicial imprimatur on
the change. Our precedents thus counsel against holding
that the term "prevailing party" authorizes
an award of attorney's fees without a corresponding alteration
in the legal relationship of the parties.
The dissenters chide us for upsetting "long-prevailing
Circuit precedent." Post, at 1 (emphasis added).
But, as Justice Scalia points out in his concurrence,
several Courts of Appeals have relied upon dicta in our
prior cases in approving the "catalyst theory."
See post, at 11-12; see also supra, at 4-5, n. 5. Now
that the issue is squarely presented, it behooves us to
reconcile the plain language of the statutes with our
prior holdings. We have only awarded attorney's fees where
the plaintiff has received a judgment on the merits, see,
e.g., Farrar, supra, at 112, or obtained a court-ordered
consent decree, Maher, supra, at 129-130--we have not
awarded attorney's fees where the plaintiff has secured
the reversal of a directed verdict, see Hanrahan, supra,
at 759, or acquired a judicial pronouncement that the
defendant has violated the Constitution unaccompanied
by "judicial relief," Hewitt, supra, at 760
(emphasis added). Never have we awarded attorney's fees
for a nonjudicial "alteration of actual circumstances."
Post, at 13. While urging an expansion of our precedents
on this front, the dissenters would simultaneously abrogate
the "merit" requirement of our prior cases and
award attorney's fees where the plaintiff's claim "was
at least colorable" and "not . . . groundless."
Post, at 7 (internal quotation marks and citation omitted).
We cannot agree that the term "prevailing party"
authorizes federal courts to award attorney's fees to
a plaintiff who, by simply filing a nonfrivolous but nonetheless
potentially meritless
lawsuit (it will never be determined), has reached the
"sought-after destination" without obtaining
any judicial relief. Post, at 13 (internal quotation marks
and citation omitted).8
Petitioners nonetheless argue that the legislative
history of the Civil Rights Attorney's Fees Awards Act
supports a broad reading of "prevailing party"
which includes the "catalyst theory." We doubt
that legislative history could overcome what we think
is the rather clear meaning of "prevailing party"--the
term actually used in the statute. Since we resorted to
such history in Garland, 489 U. S., at 790, Maher, 448
U. S., at 129, and Hanrahan, 446 U. S., at 756-757, however,
we do likewise here.
The House Report to §1988 states that
"[t]he phrase `prevailing party' is not intended
to be limited to the victor only after entry of a final
judgment following a full trial on the merits, "
H. R. Rep. No. 94-1558, p. 7 (1976), while the Senate
Report explains that "parties may be considered to
have prevailed when they vindicate rights through a consent
judgment or without formally obtaining relief," S.
Rep. No. 94-1011, p. 5 (1976). Petitioners argue that
these Reports and their reference to a 1970 decision from
the Court of Appeals for the Eighth Circuit, Parham v.
Southwestern Bell Telephone Co., 433 F. 2d 421 (1970),
indicate Congress' intent to adopt the "catalyst
theory."9 We think the legislative history cited
by petitioners is at best ambiguous as to the availability
of the "catalyst theory" for awarding attorney's
fees. Particularly in view of the "American Rule"
that attorney's fees will not be awarded absent "explicit
statutory authority," such legislative history is
clearly insufficient to alter the accepted meaning of
the statutory term. Key Tronic, 511 U. S., at 819; see
also Hanrahan, supra, at 758 ("[O]nly when a party
has prevailed on the merits of at least some of his claims
... has there been a determination of the `substantial
rights of the parties,' which Congress determined was
a necessary foundation for departing from the usual rule
in this country that each party is to bear the expense
of his own attorney" (quoting H. R. Rep. No. 94-1558,
at 8)).
Petitioners finally assert that the "catalyst
theory" is necessary to prevent defendants from unilaterally
mooting an action before judgment in an effort to avoid
an award of attorney's fees. They also claim that the
rejection of the "catalyst theory" will deter
plaintiffs with meritorious but expensive cases from bringing
suit. We are skeptical of these assertions, which are
entirely speculative and unsupported by any empirical
evidence (e.g., whether the number of suits brought in
the Fourth Circuit has declined, in relation to other
Circuits, since the decision in S-1 and S-2).
Petitioners discount the disincentive that
the "catalyst theory" may have upon a defendant's
decision to voluntarily change its conduct, conduct that
may not be illegal. "The defendants' potential liability
for fees in this kind of litigation can be as significant
as, and sometimes even more significant than, their potential
liability on the merits," Evans v. Jeff D., 475 U.
S. 717, 734 (1986), and the possibility of being assessed
attorney's fees may well deter a defendant from altering
its conduct.
And petitioners' fear of mischievous defendants
only materializes in claims for equitable relief, for
so long as the plaintiff has a cause of action for damages,
a defendant's change in conduct will not moot the case.10
Even then, it is not clear how often courts will find
a case mooted: "It is well settled that a defendant's
voluntary cessation of a challenged practice does not
deprive a federal court of its power to determine the
legality of the practice" unless it is "absolutely
clear that the allegedly wrongful behavior could not reasonably
be expected to recur." Friends of Earth, Inc. v.
Laidlaw Environmental Services (TOC), Inc., 528 U. S.
167, 189 (2000) (internal quotation marks and citations
omitted). If a case is not found to be moot, and the plaintiff
later procures an enforceable judgment, the court may
of course award attorney's fees. Given this possibility,
a defendant has a strong incentive to enter a settlement
agreement, where it can negotiate attorney's fees and
costs. Cf. Marek v. Chesny, 473 U. S., at 7 ("[M]any
a defendant would be unwilling to make a binding settlement
offer on terms that left it exposed to liability for attorney's
fees in whatever amount the court might fix on motion
of the plaintiff" (internal quotation marks and citation
omitted)).
We have also stated that "[a] request
for attorney's fees should not result in a second major
litigation," Hensley v. Eckerhart, 461 U. S. 424,
437 (1983), and have accordingly avoided an interpretation
of the fee-shifting statutes that would have "spawn[ed]
a second litigation of significant dimension," Garland,
489 U. S., at 791. Among other things, a "catalyst
theory" hearing would require analysis of the defendant's
subjective motivations in changing its conduct, an analysis
that "will likely depend on a highly factbound inquiry
and may turn on reasonable inferences from the nature
and timing of the defendant's change in conduct."
Brief for United States as Amicus Curiae 28. Although
we do not doubt the ability of district courts to perform
the nuanced "three thresholds" test required
by the "catalyst theory"--whether the claim
was colorable rather than groundless; whether the lawsuit
was a substantial rather than an insubstantial cause of
the defendant's change in conduct; whether the defendant's
change in conduct was motivated by the plaintiff's threat
of victory rather than threat of expense, see post, at
6-7--it is clearly not a formula for "ready administrability."
Burlington v. Dague, 505 U. S. 557, 566 (1992).
Given the clear meaning of "prevailing
party" in the fee-shifting statutes, we need not
determine which way these various policy arguments cut.
In Alyeska, 421 U. S., at 260, we said that Congress had
not "extended any roving authority to the Judiciary
to allow counsel fees as costs or otherwise whenever the
courts might deem them warranted." To disregard the
clear legislative language and the holdings of our prior
cases on the basis of such policy arguments would be a
similar assumption of a "roving authority."
For the reasons stated above, we hold that the "catalyst
theory" is not a permissible basis for the award
of attorney's fees under the FHAA, 42 U. S. C. §3613(c)(2),
and ADA, 42 U. S. C. §12205.
The judgment of the Court of Appeals is
BUCKHANNON BOARD AND CARE HOME, INC.,
et al., PETITIONERS v. WEST VIRGINIA DEPARTMENT OF HEALTH
AND
HUMAN RESOURCES et al.
on writ of certiorari to the united states
court of appeals for the fourth circuit
[May 29, 2001]
--------------------------------------------------------------------------------
Chief Justice Rehnquist delivered the opinion
of the Court.
Numerous federal statutes allow courts to
award attorney's fees and costs to the "prevailing
party." The question presented here is whether this
term includes a party that has failed to secure a judgment
on the merits or a court-ordered consent decree, but has
nonetheless achieved the desired result because the lawsuit
brought about a voluntary change in the defendant's conduct.
We hold that it does not.
Buckhannon Board and Care Home, Inc., which
operates care homes that provide assisted living to their
residents, failed an inspection by the West Virginia Office
of the State Fire Marshal because some of the residents
were incapable of "self-preservation" as defined
under state law. See W. Va. Code §§16-5H-1,
16-5H-2 (1998) (requiring that all residents of residential
board and care homes be capable of "self-preservation,"
or capable of moving themselves "from situations
involving imminent danger, such as fire"); W. Va.
Code of State Rules, tit. 87, ser. 1, §14.07(1) (1995)
(same). On October 28, 1997, after receiving cease and
desist orders requiring the closure of its residential
care facilities within 30 days, Buckhannon Board and Care
Home, Inc., on behalf of itself and other similarly situated
homes and residents (hereinafter petitioners), brought
suit in the United States District Court for the Northern
District of West Virginia against the State of West Virginia,
two of its agencies, and 18 individuals (hereinafter respondents),
seeking declaratory and injunctive relief1 that the "self-preservation"
requirement violated the Fair Housing Amendments Act of
1988 (FHAA), 102 Stat. 1619, 42 U. S. C. §3601 et
seq., and the Americans with Disabilities Act of 1990
(ADA), 104 Stat. 327, 42 U. S. C. §12101 et seq.
Respondents agreed to stay enforcement of
the cease and desist orders pending resolution of the
case and the parties began discovery. In 1998, the West
Virginia Legislature enacted two bills eliminating the
"self-preservation" requirement, see H. R. 4200,
I 1998 W. Va. Acts 983-986 (amending regulations); S.
627, II 1998 W. Va. Acts 1198-1199 (amending statute),
and respondents moved to dismiss the case as moot. The
District Court granted the motion, finding that the 1998
legislation had eliminated the allegedly offensive provisions
and that there was no indication that the West Virginia
Legislature would repeal the amendments.2
Petitioners requested attorney's fees as
the "prevailing party" under the FHAA, 42 U.
S. C. §3613(c)(2) ("[T]he court, in its discretion,
may allow the prevailing party ... a reasonable attorney's
fee and costs"), and ADA, 42 U. S. C. §12205
("[T]he court ... , in its discretion, may allow
the prevailing party ... a reasonable attorney's fee,
including litigation expenses, and costs"). Petitioners
argued that they were entitled to attorney's fees under
the "catalyst theory," which posits that a plaintiff
is a "prevailing party" if it achieves the desired
result because the lawsuit brought about a voluntary change
in the defendant's conduct. Although most Courts of Appeals
recognize the "catalyst theory,"3 the Court
of Appeals for the Fourth Circuit rejected it in S-1 and
S-2 v. State Bd. of Ed. of N. C., 21 F. 3d 49, 51 (1994)
(en banc) ("A person may not be a `prevailing party'
... except by virtue of having obtained an enforceable
judgment, consent decree, or settlement giving some of
the legal relief sought"). The District Court accordingly
denied the motion and, for the same reason, the Court
of Appeals affirmed in an unpublished, per curiam opinion.
Judgt. order reported at 203 F. 3d 819 (CA4 2000).
To resolve the disagreement amongst the
Courts of Appeals, we granted certiorari, 530 U. S. 1304
(2000), and now affirm.
In the United States, parties are ordinarily
required to bear their own attorney's fees--the prevailing
party is not entitled to collect from the loser. See Alyeska
Pipeline Service Co. v. Wilderness Society, 421 U. S.
240, 247 (1975). Under this "American Rule,"
we follow "a general practice of not awarding fees
to a prevailing party absent explicit statutory authority."
Key Tronic Corp. v. United States, 511 U. S. 809, 819
(1994). Congress, however, has authorized the award of
attorney's fees to the "prevailing party" in
numerous statutes in addition to those at issue here,
such as the Civil Rights Act of 1964, 78 Stat. 259, 42
U. S. C. §2000e-5(k), the Voting Rights Act Amendments
of 1975, 89 Stat. 402, 42 U. S. C. §1973l(e), and
the Civil Rights Attorney's Fees Awards Act of 1976, 90
Stat. 2641, 42 U. S. C. §1988. See generally Marek
v. Chesny, 473 U. S. 1, 43-51 (1985) (Appendix to opinion
of Brennan, J., dissenting).4
In designating those parties eligible for
an award of litigation costs, Congress employed the term
"prevailing party," a legal term of art. Black's
Law Dictionary 1145 (7th ed. 1999) defines "prevailing
party" as "[a] party in whose favor a judgment
is rendered, regardless of the amount of damages awarded
the court will award attorney's fees to the prevailing
party>. -- Also termed successful party." This
view that a "prevailing party" is one who has
been awarded some relief by the court can be distilled
from our prior cases.5
In Hanrahan v. Hampton, 446 U. S. 754, 758
(1980) (per curiam), we reviewed the legislative history
of §1988 and found that "Congress intended to
permit the interim award of counsel fees only when a party
has prevailed on the merits of at least some of his claims."
Our "[r]espect for ordinary language requires that
a plaintiff receive at least some relief on the merits
of his claim before he can be said to prevail." Hewitt
v. Helms, 482 U. S. 755, 760 (1987). We have held that
even an award of nominal damages suffices under this test.
See Farrar v. Hobby, 506 U. S. 103 (1992).6
In addition to judgments on the merits,
we have held that settlement agreements enforced through
a consent decree may serve as the basis for an award of
attorney's fees. See Maher v. Gagne, 448 U. S. 122 (1980).
Although a consent decree does not always include an admission
of liability by the defendant, see, e.g., id., at 126,
n. 8, it nonetheless is a court-ordered "chang[e]
[in] the legal relationship between [the plaintiff] and
the defendant." Texas State Teachers Assn. v. Garland
Independent School Dist., 489 U. S. 782, 792 (1989) (citing
Hewitt, supra, at 760-761, and Rhodes v. Stewart, 488
U. S. 1, 3-4 (1988) (per curiam)).7 These decisions, taken
together, establish that enforceable judgments on the
merits and court-ordered consent decrees create the "material
alteration of the legal relationship of the parties"
necessary to permit an award of attorney's fees. 489 U.
S., at 792-793; see also Hanrahan, supra, at 757 ("[I]t
seems clearly to have been the intent of Congress to permit
. . . an interlocutory award only to a party who has established
his entitlement to some relief on the merits of his claims,
either in the trial court or on appeal" (emphasis
added)).
We think, however, the "catalyst theory"
falls on the other side of the line from these examples.
It allows an award where there is no judicially sanctioned
change in the legal relationship of the parties. Even
under a limited form of the "catalyst theory,"
a plaintiff could recover attorney's fees if it established
that the "complaint had sufficient merit to withstand
a motion to dismiss for lack of jurisdiction or failure
to state a claim on which relief may be granted."
Brief for United States as Amicus Curiae 27. This is not
the type of legal merit that our prior decisions, based
upon plain language and congressional intent, have found
necessary. Indeed, we held in Hewitt that an interlocutory
ruling that reverses a dismissal for failure to state
a claim "is not the stuff of which legal victories
are made." 482 U. S., at 760. See also Hanrahan,
supra, at 754 (reversal of a directed verdict for defendant
does not make plaintiff a "prevailing party").
A defendant's voluntary change in conduct, although perhaps
accomplishing what the plaintiff sought to achieve by
the lawsuit, lacks the necessary judicial imprimatur on
the change. Our precedents thus counsel against holding
that the term "prevailing party" authorizes
an award of attorney's fees without a corresponding alteration
in the legal relationship of the parties.
The dissenters chide us for upsetting "long-prevailing
Circuit precedent." Post, at 1 (emphasis added).
But, as Justice Scalia points out in his concurrence,
several Courts of Appeals have relied upon dicta in our
prior cases in approving the "catalyst theory."
See post, at 11-12; see also supra, at 4-5, n. 5. Now
that the issue is squarely presented, it behooves us to
reconcile the plain language of the statutes with our
prior holdings. We have only awarded attorney's fees where
the plaintiff has received a judgment on the merits, see,
e.g., Farrar, supra, at 112, or obtained a court-ordered
consent decree, Maher, supra, at 129-130--we have not
awarded attorney's fees where the plaintiff has secured
the reversal of a directed verdict, see Hanrahan, supra,
at 759, or acquired a judicial pronouncement that the
defendant has violated the Constitution unaccompanied
by "judicial relief," Hewitt, supra, at 760
(emphasis added). Never have we awarded attorney's fees
for a nonjudicial "alteration of actual circumstances."
Post, at 13. While urging an expansion of our precedents
on this front, the dissenters would simultaneously abrogate
the "merit" requirement of our prior cases and
award attorney's fees where the plaintiff's claim "was
at least colorable" and "not . . . groundless."
Post, at 7 (internal quotation marks and citation omitted).
We cannot agree that the term "prevailing party"
authorizes federal courts to award attorney's fees to
a plaintiff who, by simply filing a nonfrivolous but nonetheless
potentially meritless
lawsuit (it will never be determined), has reached the
"sought-after destination" without obtaining
any judicial relief. Post, at 13 (internal quotation marks
and citation omitted).8
Petitioners nonetheless argue that the legislative
history of the Civil Rights Attorney's Fees Awards Act
supports a broad reading of "prevailing party"
which includes the "catalyst theory." We doubt
that legislative history could overcome what we think
is the rather clear meaning of "prevailing party"--the
term actually used in the statute. Since we resorted to
such history in Garland, 489 U. S., at 790, Maher, 448
U. S., at 129, and Hanrahan, 446 U. S., at 756-757, however,
we do likewise here.
The House Report to §1988 states that
"[t]he phrase `prevailing party' is not intended
to be limited to the victor only after entry of a final
judgment following a full trial on the merits, "
H. R. Rep. No. 94-1558, p. 7 (1976), while the Senate
Report explains that "parties may be considered to
have prevailed when they vindicate rights through a consent
judgment or without formally obtaining relief," S.
Rep. No. 94-1011, p. 5 (1976). Petitioners argue that
these Reports and their reference to a 1970 decision from
the Court of Appeals for the Eighth Circuit, Parham v.
Southwestern Bell Telephone Co., 433 F. 2d 421 (1970),
indicate Congress' intent to adopt the "catalyst
theory."9 We think the legislative history cited
by petitioners is at best ambiguous as to the availability
of the "catalyst theory" for awarding attorney's
fees. Particularly in view of the "American Rule"
that attorney's fees will not be awarded absent "explicit
statutory authority," such legislative history is
clearly insufficient to alter the accepted meaning of
the statutory term. Key Tronic, 511 U. S., at 819; see
also Hanrahan, supra, at 758 ("[O]nly when a party
has prevailed on the merits of at least some of his claims
... has there been a determination of the `substantial
rights of the parties,' which Congress determined was
a necessary foundation for departing from the usual rule
in this country that each party is to bear the expense
of his own attorney" (quoting H. R. Rep. No. 94-1558,
at 8)).
Petitioners finally assert that the "catalyst
theory" is necessary to prevent defendants from unilaterally
mooting an action before judgment in an effort to avoid
an award of attorney's fees. They also claim that the
rejection of the "catalyst theory" will deter
plaintiffs with meritorious but expensive cases from bringing
suit. We are skeptical of these assertions, which are
entirely speculative and unsupported by any empirical
evidence (e.g., whether the number of suits brought in
the Fourth Circuit has declined, in relation to other
Circuits, since the decision in S-1 and S-2).
Petitioners discount the disincentive that
the "catalyst theory" may have upon a defendant's
decision to voluntarily change its conduct, conduct that
may not be illegal. "The defendants' potential liability
for fees in this kind of litigation can be as significant
as, and sometimes even more significant than, their potential
liability on the merits," Evans v. Jeff D., 475 U.
S. 717, 734 (1986), and the possibility of being assessed
attorney's fees may well deter a defendant from altering
its conduct.
And petitioners' fear of mischievous defendants
only materializes in claims for equitable relief, for
so long as the plaintiff has a cause of action for damages,
a defendant's change in conduct will not moot the case.10
Even then, it is not clear how often courts will find
a case mooted: "It is well settled that a defendant's
voluntary cessation of a challenged practice does not
deprive a federal court of its power to determine the
legality of the practice" unless it is "absolutely
clear that the allegedly wrongful behavior could not reasonably
be expected to recur." Friends of Earth, Inc. v.
Laidlaw Environmental Services (TOC), Inc., 528 U. S.
167, 189 (2000) (internal quotation marks and citations
omitted). If a case is not found to be moot, and the plaintiff
later procures an enforceable judgment, the court may
of course award attorney's fees. Given this possibility,
a defendant has a strong incentive to enter a settlement
agreement, where it can negotiate attorney's fees and
costs. Cf. Marek v. Chesny, 473 U. S., at 7 ("[M]any
a defendant would be unwilling to make a binding settlement
offer on terms that left it exposed to liability for attorney's
fees in whatever amount the court might fix on motion
of the plaintiff" (internal quotation marks and citation
omitted)).
We have also stated that "[a] request
for attorney's fees should not result in a second major
litigation," Hensley v. Eckerhart, 461 U. S. 424,
437 (1983), and have accordingly avoided an interpretation
of the fee-shifting statutes that would have "spawn[ed]
a second litigation of significant dimension," Garland,
489 U. S., at 791. Among other things, a "catalyst
theory" hearing would require analysis of the defendant's
subjective motivations in changing its conduct, an analysis
that "will likely depend on a highly factbound inquiry
and may turn on reasonable inferences from the nature
and timing of the defendant's change in conduct."
Brief for United States as Amicus Curiae 28. Although
we do not doubt the ability of district courts to perform
the nuanced "three thresholds" test required
by the "catalyst theory"--whether the claim
was colorable rather than groundless; whether the lawsuit
was a substantial rather than an insubstantial cause of
the defendant's change in conduct; whether the defendant's
change in conduct was motivated by the plaintiff's threat
of victory rather than threat of expense, see post, at
6-7--it is clearly not a formula for "ready administrability."
Burlington v. Dague, 505 U. S. 557, 566 (1992).
Given the clear meaning of "prevailing
party" in the fee-shifting statutes, we need not
determine which way these various policy arguments cut.
In Alyeska, 421 U. S., at 260, we said that Congress had
not "extended any roving authority to the Judiciary
to allow counsel fees as costs or otherwise whenever the
courts might deem them warranted." To disregard the
clear legislative language and the holdings of our prior
cases on the basis of such policy arguments would be a
similar assumption of a "roving authority."
For the reasons stated above, we hold that the "catalyst
theory" is not a permissible basis for the award
of attorney's fees under the FHAA, 42 U. S. C. §3613(c)(2),
and ADA, 42 U. S. C. §12205.
The judgment of the Court of Appeals
is affirmed
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