Case study 5 - commercial law - responsibility - Slovakia

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In this case study on commercial law – responsibility, Member States were asked to advise the customer on litigation costs in order to consider the following situations:

Case A – National situation: A heating equipment manufacturer delivers a heater to an installer. The installer on-sells (and installs) the heater to a customer to equip his/her house. The house catches fire shortly thereafter. Every participant (heating equipment manufacturer, installer, end-customer) is insured. The origin of the fire is contested. Nobody wants to compensate the customer.

The customer decides to sue for full compensation the heating equipment manufacturer, the heating equipment installer and the insurance companies.

Case B – Transnational situation: A heating equipment manufacturer in a Member State B delivers heater to an installer in a Member State C. The installer on-sells the heater (and installs) the heater to a customer in Member State A to equip his/her house. The house catches fire shortly thereafter. Each participant (heating equipment manufacturer, installer, end-customer) is insured by an insurance company in its own Member State. The origin of the fire is contested. Nobody wants to compensate the customer.

The customer decides to sue in Member State A for full compensation the heating equipment manufacturer, the heating equipment installer and the insurance companies in Member State A.


Costs of proceedings


          Costs in Slovakia

Costs for court, appeals and alternative dispute resolution


Case Study

Court

Appeals

ADR

Initial court fees

Transcription fees

Other fees

Initial court fees

Transcription fees

Other fees

Is this option open for this type of case?

Costs

Case A

6 % of the

value of the litigation amount;

(EUR3000 (in case of value of the claim EUR50,000)

EUR0

EUR33,

(related to eventual injunction)

6 % of the

value of the litigation amount;

EUR3000 (in case of value of the claim EUR50,000)

EUR0

EUR33

(related to eventual injunction)

no

EUR

0

Case B

6 % of the

value of the litigation amount;

EUR3000 (in case of value of the claim EUR50,000)

EUR0

EUR33,

(related to eventual injunction)

6 % of the

value of the litigation amount;

EUR3000 (in case of value of the claim EUR50,000)

EUR0

EUR33

(related to eventual injunction)

no

EUR

0


Costs for lawyer, bailiff and expert


Case Study

Lawyer

Bailiff

Expert

Is representation compulsory?

Average costs

Is representation compulsory?

Pre-judgement costs

Post-judgement costs

Is use compulsory ?

Cost

Case A

not

compulsory but usual

On average

EUR800

no

EUR0

EUR10,000 (i.e. 20 % of EUR50,000 if the debt was extortionate), supposing the court orders the defendant to pay EUR50,000 to the customer in a final and binding judgement.

This fee must be paid by the defendant over and above the claim.

no

On average

EUR300

Case B

not

compulsory but usual

On average

EUR1200

no

EUR0

EUR10,000 (i.e. 20 % of EUR50,000 if the debt was extortionate), supposing the court orders the defendant to pay EUR20,000 to the customer in a final and binding judgement.

This fee must be paid by the defendant over and above the claim.

no

On average

EUR300


Costs for witness compensation, pledge or security and other relevant fees


Case

Study

Witness compensation

Pledge or security

Other fees

Are witnesses compensated?

Cost

Does this exist and when and how is it used?

Cost

Description

Cost

Case A

yes

On average

EUR50

no

EUR0

EUR0

Case B

yes

On average

EUR150

no

EUR0

EUR0


Costs for legal aid and other reimbursement



Case

study

Legal Aid

When and under which conditions is it applicable?

When is support total?

Case A

Not available (the relationship is governed by commercial law)

Case B

The applicant submits

his/her application for legal aid to the Centre for Legal Aid provided:

(1) he/she is domiciled or habitually resident in a member state different from Slovak Republic; (2) he/she proves that he/she meets the condition of material need to be granted legal aid in Slovak Republic (3) or that he/she meets the conditions required for the provision of legal aid in the member state of his or her domicile or habitual residence (4) the case is not clearly unsuccessful and (5) the litigation amount exceeds the amount of the minimum wage (except for disputes in which the litigation amount cannot be determined).

Please note that legal aid is not be provided if the consumer is not a physical person.

The entitled person receives a complete package of representation and related services free.




Case

study

Reimbursement

Can the winning party obtain reimbursement of litigation costs?

If reimbursement is not total what is percentage in general?

What costs are never reimbursed?

Are there instances when legal aid should be reimbursed to the legal aid organisation?

Case A

Yes

50% In case of partial success. The court may apportion the costs between the parties, declaring that none has the right to restitution. However, the court may award the partially successful party full restitution, depending on the opinion of the expert or the discretion of the court, or if the unsuccessful portion of the claim is relatively negligible. The court decides on the restitution/refund of the incurred proceedings´ costs upon a motion, either as a part of the final decision or by separate decision.

All costs

effectively incurred by one party are eventually reimbursable by the other party – except experts’, lawyers’, translators’ and interpreters’ contractual (real) fees in an amount exceeding tariff fees according to respective regulations (abstract fees).

Case B

Yes

50% In case of partial success. The court may apportion the costs between the parties, declaring that none has the right to restitution. However, the court may award the partially successful party full restitution, depending on the opinion of the expert or the discretion of the court, or if the unsuccessful portion of the claim is relatively negligible. The court decides on the restitution/refund of the incurred proceedings´ costs upon a motion, either as a part of the final decision or by separate decision.

All costs effectively incurred by one party are eventually reimbursable by the other party – except experts’, lawyers’, translators’ and interpreters’ contractual (real) fees in an amount exceeding tariff fees according to respective regulations (abstract fees).

 Yes. A foreign entitled

person shall refund to the Centre of Legal Aid the costs spent so far for granted legal aid in

whole or in part, based on the decision of the Centre of Legal Aid, if: his/her income and property conditions at the time of filing an application did not establish the right to legal aid, due to untrue or incomplete data provided by this person, or his/her income and property conditions has substantially changed, mainly due to success in this cross-border dispute, unless the costs spent so far for granted legal aid are or will be compensated to the designated advocate or the Centre of Legal Aid by the refund of the proceedings costs. (In case the foreign entitled person meets the conditions for refund of incurred proceedings costs, this refund will be awarded to the advocate

who pays it to the Centre

for Legal Aid if its amount was larger than the costs of the provided legal aid.)


Costs for translation and interpretation


Case

study

Translation

When and under what conditions is it necessary?

Approximate cost?

Case A

For translation of documentary evidence submitted to the court in another language (except the Czech language) by or in favour of either of the parties.

And eventually also for translation of other documents (for example, judgements) into the language the parties understand.

Translation costs incurred in relation to exercise of the parties´ right to perform before courts in their native language are paid by the state. However, the state is authorised to have the paid proceedings costs

reimbursed by the

parties, pursuant to outcome of the case, unless the parties meet the requirements for exemption from the court fees.

On average EUR50

Case B

For the translation of

documentary evidence or other documents. The court also appoints a translator for the purposes of translation

by request of the Slovak court, including: (1) attached documents (2) documents addressed to foreign judicial authorities (3) motion for recognition and enforcement of judgement (including annexes) rendered by Slovak court abroad (4) request by foreign

judicial authority (5) other judicial documents – unless provided otherwise by

European legislation or international convention.

Translation costs

incurred in the exercise of parties’ right to take part in court proceedings in their native language are paid by the state. However, the state can order these costs to be reimbursed by the

parties, depending on the outcome of the case – unless they meet the requirements for exemption from court fees.

On average EUR300



Case

study

Interpretation

Other costs specific to cross-border disputes?

When and under what conditions is it necessary?

Approximate cost?

Description

Approximate cost?

Case A

If a person before the court speaks a language other than the Slovak language.

Also for the purposes of examining people who are deaf, dumb and deaf and dumb, unless it is possible to communicate with them in another reliable manner.

The parties to the litigation are authorised to act before the court in their native language or an official language of a state that they understand..

Interpretation costs incurred in relation to the exercise of the parties´ right to perform before courts in their native language are paid by the state. However, the state is authorised to have the paid proceedings costs reimbursed by the parties, pursuant to outcome of the case, unless the parties meet the requirements for exemption form the court fees.

Case B

If a person before the court speaks a language other than the Slovak language.

Also for the purposes of examining people who are deaf, dumb and deaf and dumb, unless it is possible to communicate with them in another reliable manner.

The parties to the litigation are authorised to act before the court in their native language or an official language of a state that they understand.

Interpretation costs incurred in relation to the exercise of the parties´ right to perform before courts in their native language are paid by the state. However, the state is authorised to have the paid proceedings costs reimbursed by the parties, pursuant to outcome of the case, unless the parties meet the requirements for exemption form the court fees.

Probably higher out of pocket expenses and lost earnings of the parties.

In average

EUR

500



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Last update: 26/06/2019