Article 275

If the court decides to issue an order for costs:

the general rule is that the unsuccessful party will be ordered to pay the costs of the successful party; or

the court may in its discretion issue a different order.

Court fees shall be on the basis of a tariff determined by the Government. For other expenses incurred, up to 100,000 Nakfas, cost shall be 4% of the amount in dispute; for incurred expenses greater than 1,000,000 Nakfas, it shall be 2%. Lawyers’ expenses shall be on the basis of the official receipts. If the court deems the official receipts to be excessive, the court may determine the expense which it deems reasonable. If the amount in dispute is indeterminable the court may determine the amount of expenses which it deems reasonable.

The general rule does not apply to family proceedings and to commercial proceedings between members of the same family.

In deciding what order, if any, to issue for costs, the court must consider all the circumstances, including the conduct of the parties, whether a party has succeeded in part of his case, even if he has not been wholly successful, and whether any payment into court or an offer to settle has been made, which is drawn to the court’s attention. In issuing an order under sub-Article (2) (b), the court shall state its reasons in writing.

The conduct of the parties as referred to in sub-Article (4) includes:

conduct before, as well as during, the proceedings;

whether it was reasonable for a party to raise, pursue or contest a particular allegation or issue;

the manner in which a party has pursued or defended its case or a particular allegation or issue; and

whether a plaintiff who has succeeded in its claim, in whole or in part, exaggerated his claim.