The City of Bloomington will pay $37,500 in legal fees to the law firm representing a group of residents that sued to stop the city's attempt to annex their land.

A Monroe County Circuit judge rejected the firm's arguments that its attorneys should be reimbursed nearly $200,000 for their work on behalf of County Residents Against Annexation. Bunger & Robertson attorneys William Beggs and Ryan Heeb said they performed hundreds of hours of legal work in the case.

Read more: Group seeks legal fees after defeating annexation plan

The years-long legal battle ended in February when the Indiana Supreme Court rejected city appeals against previous rulings.

In his ruling, issued Friday, Judge Nathan Nikirk rejected arguments that the attorneys were owed more than the $37,500 limit set by Indiana statute in annexation cases.

"To accept Petitioners’ arguments would effectively eliminate the plain cap set by the legislature, which must be strictly construed," Nikirk wrote.

The judge also found that the group did not qualify for additional recovery because it does not own land that the city sought for annexation.