The litigation expenses
The law imperatively stipulates that the losing party must reimburse all the litigation expenses incurred by the party, in whose favor the judgment was made. Does the court really award all the litigation expenses you have incurred if you win the case?
- Litigation (general rules of litigation). In order for the litigation expenses to be reimbursed, it is necessary to provide the court with the documents that these expenses have been paid before the last court hearing. The provisions of the Code of Civil Procedure of the Republic of Lithuania entitle the court to reduce the amount of litigation expenses to be awarded. However, if the other party abused the procedural rights, the chances of these expenses to be reimbursed are higher.
- Special proceedings. In special proceedings cases, such as divorce by mutual consent of both spouses, cases concerning the appealing of the actions of a bailiff or notary, etc., even if successful, the litigation expenses of the parties are not a subject to reimbursement. Only when it is possible to prove that the interests of the opposing party (whose actions you are appealing or who substantially disagrees with your position) are opposite – only then it is possible to get litigation expenses reimbursed. This sometimes is extremely difficult or even impossible to achieve.
- Enforcement proceedings. In the Code of Civil Procedure of the Republic of Lithuania it is provided that usually litigation expenses in enforcement proceedings are not reimbursed. However, there are exceptions – for example, cases concerning the actions of a bailiff are dealt with in special proceedings, therefore, if the bailiff’s interests are proved to be opposite or in case the bailiff abuses the procedural rights, the expenses may be reimbursed.
- Labor disputes. According to the Labor Code of the Republic of Lithuania and the case law of the Lithuanian Supreme Court, litigation expenses incurred during the pre-trial stage at the Labor Disputes Commission are not reimbursed. Expenses incurred during the court proceedings are being reimbursed according to the general rules.
PRIMUS Dispute Resolution Practice Group:
Artūras Gutauskas, Associate Partner, Attorney at Law
Andrius Lukašonokas, Associate Partner, Attorney at Law
Monika Petrošiutė, Associate