A bill for an act relating to awarding costs and reasonable attorney fees to a prevailing party in a civil action and including effective date and applicability provisions.

This bill requires Iowa courts to award costs and reasonable attorney fees to the winning party in most civil lawsuits, shifting the financial burden from the prevailing party to the losing side. It directly affects private individuals and businesses involved in civil disputes, but excludes cases involving the state, government entities, or public officials acting in their official capacity. The bill defines a "prevailing party" as one with a net monetary recovery, a defendant in a dismissed case, or a defendant where neither side wins, with courts determining status in other scenarios. It takes effect for cases filed on or after July 1, 2025, and directs the Supreme Court to propose code amendments to resolve any ambiguities caused by the law.