The Idaho Court of Appeals has overturned a ruling ordering the Idaho Newspaper Foundation and McCall's Central Idaho Star-News to pay the attorney fees in a battle with the city of Cascade and its schools.

In 1987, the city and schools began publishing their legal notices in The Advocate newspaper in Cascade, instead of the Star-News, the county newspaper.That prompted the Newspaper Foundation and the Star-News to file suit in 4th District Court, contending The Advocate lacked the minimum circulation and subscriber base required by Idaho law.

The district court sided with the city and schools on the issue. It also awarded attorney fees to Cascade and the district, which contended the fees were recoverable from "any lawsuit where a commercial relationship exists."

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But the appellate court said there was no transaction between the city and schools and the newspaper. The initial suit was to compel the public entities to follow their statutory duty by running advertisements in the appropriate paper, it said.

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