"Substantially justified" refers to a situation where a claim or action is supported by a reasonable basis in both law and fact. Essentially, it means that the justification for a decision or action is strong enough that a reasonable person would agree with it. This term is often used in legal contexts to evaluate whether a party's position in a dispute is defensible.
This term is frequently used in various areas of law, including civil litigation and tax disputes. For example, it may come into play when determining whether a party's position in a legal case is defensible enough to avoid penalties or to recover attorney fees. Users may find relevant forms and templates on US Legal Forms to assist in these matters.
Here are a couple of examples of abatement:
For instance, if a taxpayer claims a deduction on their tax return and is later audited, they may argue that their claim was substantially justified if they had a reasonable basis for the deduction based on tax law and factual circumstances (hypothetical example).
| Term | Definition | Difference |
|---|---|---|
| Justified | Supported by valid reasons. | Substantially justified requires a higher standard of reasonableness. |
| Reasonable | Fair and sensible. | Substantially justified includes legal and factual bases. |
If you believe your actions or claims may be substantially justified, gather all relevant documentation and evidence that supports your position. Consider using US Legal Forms to access templates that can help you prepare your case. If your situation is complex, consulting a legal professional may be beneficial.
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It means having a reasonable basis in law and fact that would satisfy a reasonable person.