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Discontinuation of Decade Long Status Quo - Ex officio Censorship of Attorney Fees to be Ceased by Means of New Legislative Proposal

Romania
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A recent legislative project registered for debate with the Romanian Senate indicates that the current state of affairs pertaining to the reimbursement of judiciary costs is on the cusp of a major change.

First the Romanian Civil Procedure Code will be amended in order to no longer allow the judge vested with the resolution of the case to censor in an ex officio manner the attorney fees which must be reimbursed by the losing party. In other words, a Romanian court of law can no longer diminish the previously mentioned amounts of its own volition, irrespective of an express formal request made by the interested party.

Additionally, Law no. 51/1995 for the organization and practice of the attorney profession will also be amended, in order to establish a legal presumption which is binding to the court of law, namely that the attorney fees are reasonable by comparison with the value or complexity of the case as well as with the lawyer's corresponding workload.

The draft piece of legislation can prove to be an invaluable ally to both clients and attorneys and should have an encouraging effect for the former actors to initiate proceedings against defaulting commercial partners, whilst also acting as a deterrent for the initiators of various frivolous claims.

By Andrei-Miron Cristescu, Associate, Musat & Asociatii

Romanian Knowledge Partner

Țuca Zbârcea & Asociații is a full-service independent law firm, employing cross-disciplinary teams of lawyers, insolvency practitioners, tax consultants, IP counsellors, economists and staff members. It also operates a secondary law office in Cluj-Napoca (Romania), and has a ‘best-friend’ agreement with a leading law firm in the Republic of Moldova. In addition, thanks to the firm’s dedicated Foreign Desks, the team provides the full range of services to international investors seeking to gain a foothold or expand their existing operations in Romania. Since 2019, the firm and its tax arm are collaborating with Andersen Global in Romania.

Țuca Zbârcea & Asociaţii is providing legal services in every aspect of business, covering all major areas of practice: corporate and M&A; litigation and international arbitration; corporate tax; public procurement; TMT; employment; insurance; banking and finance; capital markets; competition; healthcare and pharmaceutical; energy and natural resources; environmental; intellectual property; real estate; regulatory legal services.

Țuca Zbârcea & Asociaţii is a First-Tier law firm in all international legal directories and a multiple award-winning law firm both locally and internationally. It received the CEE Deal of the Year Award (DOTY Awards 2021) and the Law Firm of the Year Award: Romania (IFLR Europe Awards 2021). 

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