Costs, settlement and funding

Costs

What are the rules regarding attorneys’ fees and costs on appeal?

Attorneys and their clients are free to enter into different kinds of fee arrangements (ie, an hourly rate agreement, a flat payment, both possibly including an additional success fee). However, under Austrian law, a contingency fee based on the money won by the appeal is forbidden.

The winner, however, will only be reimbursed by the other side according to the Lawyers’ Scales of Fees Act (which is a flat fee based on the value in dispute that, in many cases, is considerably lower than the costs incurred by the winning party).

Settlement of first instance judgment after appeal lodged

Can parties enter into a settlement agreement to vacate the trial court judgment after an appeal has been taken?

Yes.

Limits on settlement after commencement of appeal

Are there any limits on settlement once an appeal has been taken?

An out-of-court settlement is possible during any stage of the appeal’s process. A settlement in front of the court is only possible until the first-appeals court renders its decision or in a hearing in front of the appellate court, which is very rare.

Third-party funding

May third parties fund appeals?

Yes.

Disclosure of litigation funding

If litigation funding is permitted in an appeal, must funding sources be disclosed to the court or other parties to the litigation?

No.