Is an employer entitled to recover attorney fees and litigation costs from a settlement?

In Summers v. Newman (1999) 20 Cal.4th 1021, 86 Cal.Rptr.2d 303, 978 P.2d 1225 (Summers), this court addressed an issue concerning an employer's right to have its attorney fees paid out of settlement proceeds recovered from a third party through the joint efforts of attorneys separately representing the employer and the employee. We held that "the fees awarded to the employer's attorney ... are to be deducted from the amount paid to the employer" (id. at p. 1024, 86 Cal. Rptr.2d 303, 978 P.2d 1225 (plur. opn. of Kennard, J.); id. at p. 1036, 86 Cal.Rptr.2d 303, 978 P.2d 1225 (cone. opn. of George, C.J.)), rejecting the employer's argument that it was entitled to recover its attorney fees and litigation costs in addition to full payment of its reimbursable compensation costs.²