Legislator Case Law & Legislation
KKO 1300/1997 AI generated

Creditor in debt restructuring must reimburse state for lawyer fees paid to debtor's counsel upon appeal rejection.

Case Number KKO 1300/1997
Court / Authority
Jurisdiction Finland (FI)
Decision Date
Outcome Allowed / Granted

Legislator summary

AI generated

The Supreme Court ruled that a creditor in a debt restructuring proceeding must reimburse the state for legal fees paid to the debtor's counsel when the appeal was rejected. The creditor argued the state should bear the cost, but the court found the debtor's counsel acted on the creditor's instruction to challenge the restructuring. Consequently, the court held the creditor liable for the expenses incurred by the state to provide legal assistance to the instructed party.

Legislator headnote

AI generated

MOL 21 § 1 mom; VJL 62 § 1 mom: A creditor instructing counsel to appeal a debt restructuring decision is liable to reimburse the state for the legal fees paid to that counsel if the appeal is unsuccessful.

Keywords

AI generated
debt restructuring legal fees reimbursement state legal aid creditor liability appeal rejection legal representation costs supreme court ruling

Cited Legislation

AI generated
MOL 21 § 1 mom
VJL 62 § 1 mom (57/93)
AI generated

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Full text

Kysymys siitä, oliko velkajärjestelyasiassa muutoksenhaun hävinnyt velkoja velvollinen korvaamaan valtiolle muutoksenhakemukseen vastanneen velallisen oikeudenkäyntiavustajalle hovioikeudessa maksetun palkkion.

MOL 21 § 1 mom

VJL 62 § 1 mom (57/93)