Legal Expenses in Civil Lawsuits in Romania
Ensuring access to a civil trial is a fundamental right of every person. However, in most cases, the actual exercise of the right to a fair trial in civil proceedings involves costs that the parties may not always be prepared for. The plaintiff may be discouraged by court fees or attorney costs from initiating civil lawsuits by filing a statement of claim (download sample forms), while the defendant may find themselves facing such unwanted and unpredictable costs.
Legal expenses are a crucial topic in the context of access to justice, as they can significantly influence a person's decision to initiate or continue a civil lawsuit. In Romania, these expenses include various fees and charges, such as court fees, attorney fees, costs for technical expertise, and other necessary expenses for conducting the trial. Often, both the plaintiff and the defendant may face financial difficulties in covering these costs, which is an important consideration whenever you are dealing with a civil dispute.
Docs & Deeds answers the most common questions about legal expenses.
What are legal expenses in a civil lawsuit?
Legal expenses are the costs incurred by each party involved in a civil lawsuit during its proceedings. These may include:
court fees: these are administrative costs imposed by the courts, mandatory by law for initiating a civil lawsuit.
attorney fees: parties in civil lawsuits may choose to be represented by attorneys, though it is not mandatory. if a party hires an attorney, the winning party can recover attorney fees from the losing party.
expert fees: costs for technical expertise during the lawsuit. expert reports help parties prove technical aspects requiring specialized knowledge, such as accounting, real estate, surveying, etc.
travel and accommodation expenses: costs for traveling between locations or accommodation.
other necessary legal expenses: any other costs necessary for the conduct of the lawsuit.
Who pays the legal expenses?
Generally, the losing party is required to cover the winning party's legal expenses, including attorney fees. These legal expenses may include all reasonable and necessary costs that the winning party has incurred during the lawsuit.
What happens if both parties partially win the civil lawsuit?
If both parties partially win the lawsuit (a common scenario being where the plaintiff's claim is partially admitted), the court may decide to split the legal expenses proportionally to the claims admitted and rejected. Each party may be required to cover part of the other party's legal expenses. In some cases, each party might bear their own legal expenses.
How is the amount of legal expenses determined in a civil lawsuit?
The amount of legal expenses is determined by the court based on the evidence presented by the parties. Each party must prove the legal expenses incurred by providing supporting documents, such as receipts, invoices, service contracts, and the legal assistance contract with the lawyer.
The party requesting legal expenses from the other party must also prove their actual payment. Simply presenting an invoice for the attorney's fees is not sufficient; proof of payment is required. Failure to properly document the legal expenses can lead to their rejection by the court.
What are the rules for bearing legal expenses in case of an amicable settlement of the dispute?
In case of an amicable settlement, the parties are free to agree on how to bear their legal expenses. Typically, parties who enter into a settlement agreement for amicably resolving a dispute or withdrawing from the lawsuit may either share the legal expenses equally or each bear their own legal expenses.
Am I required to request reimbursement of legal expenses for a civil lawsuit?
No, in civil litigation, neither party is obligated to request reimbursement of legal expenses from the losing party. Recovering legal expenses is a right that a party may choose to exercise or not, by filing a court claim.
When should I request reimbursement of legal expenses in a civil lawsuit?
The request for reimbursement of legal expenses in a civil lawsuit must be made at certain key moments of the proceedings. Depending on the evolution of the dispute, you can request legal expenses at the following times:
During the civil lawsuit.
It is recommended to specify from the outset, in the statement of claim (if you are the plaintiff) or in the statement of defense (if you are the defendant), that you are requesting reimbursement of legal expenses by the other party. This informs the court from the beginning about this request and sets the procedural framework accordingly.
At the end of the civil lawsuit, before the closing of the debates and the court's ruling.
The request for reimbursement of legal expenses must be made before the court closes the stage of the parties' debates (the stage in which the parties present their arguments and evidence). The quantification of legal expenses can be included in the party's final conclusions and must be accompanied by relevant invoices/receipts and proof of payment.
After the court's ruling, within the same lawsuit.
If the lawsuit continues through appeals or recourse, you must again request reimbursement of legal expenses at these stages. The expenses incurred for appeals or recourse must also be justified and requested through specific applications in these procedures. It is important to submit all supporting documents for the legal expenses incurred for each procedural stage (first instance, appeal, recourse) until the respective stage is completed. As a rule, you cannot request reimbursement of legal expenses from the first instance directly in the recourse.
In a separate civil lawsuit.
If you obtained a favorable court ruling in a civil lawsuit but did not request reimbursement of legal expenses from the other party, you can initiate a separate civil lawsuit for debt recovery. In practice, this is known as "recovery of legal expenses in a separate trial" meaning through a new statement of claim in a different case. If you choose to proceed this way, you will pay a court fee for the request to recover legal expenses, as you are opening a new dispute. You can also recover the legal expenses related to the new lawsuit, following the same rules.
How can I contest the legal expenses requested by the other party?
If you believe that the amount representing legal expenses requested by the other party is exaggerated or unjustified, you can contest the amount before the court, arguing and presenting evidence to support your contestation. Such a contestation is formulated by the interested party in the civil lawsuit in which the legal expenses are requested. Against the amount of legal expenses determined by a court ruling, the interested party can also file appeals (appeal and/or recourse).
What happens if the court considers that the legal expenses requested by a party are too high?
The court has the right to reduce the amount of the attorney's fee included in the legal expenses paid by the losing party if it deems it disproportionate to the value or complexity of the dispute. In such cases, the court will analyze and decide what amount is reasonable to be reimbursed by the losing party as legal expenses.
Only the amount of the lawyer's fee that the losing party must reimburse to the winning party is reduced, not the attorney's fee itself. In other words, the legal assistance contract between an attorney and their client remains unchanged, and the fee agreed upon will be fully paid by the client, regardless of the amount recoverable from the opposing party at the end of the civil lawsuit.
Except for the attorney's fee, other types of costs included in the legal expenses cannot be reduced by the court. However, in practice, there are cases where courts ignore this rule and reduce other types of costs as well.
Are there exceptions where the winning party cannot recover legal expenses?
Yes, there are situations where the lawsuit ends for various reasons beyond the fault of either party in the dispute. If it cannot be determined which party is at fault procedurally, the court may decide not to award legal expenses.
Can I recover legal expenses if my opponent becomes insolvent?
Recovering legal expenses from a party against whom insolvency proceedings have been initiated will be done within these proceedings, to the extent that the amounts are recovered from the liquidation of the debtor's assets.
You can file a claim for registration in the creditor list to request the recovery of legal expenses recognized before the initiation of insolvency proceedings, provided there is already a court ruling acknowledging them in your favor. If you are not in this situation, it is advisable to consult an attorney online.
Can I recover legal expenses if I won the lawsuit, but the other party filed an appeal or recourse?
Yes, you can request payment of the legal expenses awarded for the first instance even if the other party filed an appeal / recourse. Additionally, if you win the appeal or recourse, you can request reimbursement of the legal expenses incurred during these proceedings. It is important to submit separate requests for each stage of the lawsuit.
However, in most types of civil lawsuits, court rulings issued by the first instance are not immediately enforceable, meaning you cannot immediately resort to a bailiff's services to recover legal expenses. In such cases, you will have to wait for the appeal stage to conclude, after which you can enforce the legal expenses from both the first instance and the appeal.
Can I recover legal expenses if I lost the lawsuit but obtained a significant reduction in the opponent's claims?
Generally, the losing party bears the legal expenses, but if you obtained a significant reduction in the opponent's claims, you can request the court to proportionally share these legal expenses. The court has the right to decide on the distribution of legal expenses based on the specific circumstances of the case.
Can I recover legal expenses if I won the lawsuit and was represented by a pro bono attorney?
If you were represented by a pro bono attorney and won the lawsuit, although you did not incur direct costs for the attorney's fee, you can request reimbursement of other legal expenses incurred (court fees, expert fees, etc.). The pro bono attorney's fee cannot be recovered because you did not incur an actual expense for it.
Can I recover legal expenses if I won the lawsuit in a foreign country and the judgment needs to be enforced in Romania?
Yes, you can recover legal expenses even in the case of a judgment obtained in a foreign country if the judgment is recognized and enforced in Romania. You must initiate the procedure for recognizing and enforcing the foreign judgment in Romanian courts (if necessary), and within this procedure, you can also request reimbursement of the legal expenses incurred.
Can I be obligated to pay legal expenses in contravention cases?
You can be obligated to pay legal expenses to the extent that the opposing party has incurred them. Typically, the departments within the Police involved in resolving contravention cases (download contravention complaint model) have their internal legal advisors who handle the disputes. In such cases, they do not have the right to request payment of legal expenses consisting of attorney fees (attorney fees are usually the significant part of legal expenses, with other costs being minimal).
Can I be obligated to pay legal expenses in labor disputes?
If you are an employee and win a labor dispute, you can request reimbursement of legal expenses from the employer by submitting a request within the lawsuit or even separately. You must present evidence of the expenses incurred (e.g., invoices, receipts, payment orders) to justify your request. The court will decide on the reimbursement based on this evidence. You can be obligated to pay legal expenses regardless of the type of labor dispute, even if it involves dismissal and you do not have another job.
If the employer/former employer is a multinational company with an internal legal department and uses an in-house legal representative for the lawsuit, they may not have the right to request reimbursement of legal expenses, or these may be reduced. If you need more details, ask a lawyer.
If you are an employer and win a labor dispute, you can request reimbursement of the legal expenses incurred from the employee/former employee. Similarly, you must submit a request in this regard and provide evidence of the legal expenses incurred. The court will analyze the request and decide on the reimbursement.
Can i be obligated to pay legal expenses in family law disputes?
Yes, the party who wins a family law case can recover legal expenses from the other party. This rule applies to divorce cases, division of assets according to the matrimonial regime, or other types of family law cases.
