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VON ZANTHIER & DACHOWSKI
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Successes How we brought a protracted, cross-border legal dispute to a mutually agreeable happy ending

How we brought a protracted, cross-border legal dispute to a mutually agreeable happy ending

After a long-running cross-border dispute over damages between a German company and its Polish contractor, interrupted by COVID-19 restrictions and further complicated by the insolvency of both the claimant and the defendant, we successfully secured payment of PLN 500,000 from the insurer. The case was extremely complex in both substantive and procedural terms. The client was wary of the lengthy proceedings but ultimately satisfied with the outcome and the fact that neither an appeal nor, most likely, proceedings before the Supreme Court were necessary.

Background and beginning of the story

A large-scale construction project developed into a highly complex dispute over damages. Factors arose along the way that objectively complicated the course of the proceedings: pandemic-related restrictions and interruptions in the course of the proceedings. Parallel insolvency proceedings on both sides of the dispute presented an additional challenge. The case required simultaneous mastery of technical, cross-border and financial issues.

Escalation and twists

In addition, the issue of contractual liability was linked to insurance liability and insolvency law. The evidence was extensive and heterogeneous: it included technical documents, correspondence, expert opinions and witness statements from numerous witnesses from both Poland and Germany. The complexity of the proceedings increased as complex issues of substantive and procedural law from different legal systems became intertwined.

A strategy that worked

We took a two-pronged approach: we consistently pursued the legal dispute and, at the same time, entered into talks with the insurer. We continuously updated the risk map (time, costs, evidence, further duration of the proceedings) and the options for action. When the opportunity for mediation arose, we were well prepared – with sound arguments and a ready-made solution proposal.

Turning point

Mediation became a place where both sides could talk openly about risks and benefits. We reached an agreement with the insurer that covers a significant portion of the claim. The parties settled the dispute in a predictable manner without having to continue a long-standing legal battle in further instances.

Conclusion and customer impressions

The agreement provided a faster and more secure way to obtain the service than continuing the legal dispute "to the end". After the lengthy process, the customer was relieved and satisfied, as they were convinced that the decision reached made economic sense. Instead of escalating the matter, we concluded the case properly, taking into account the limitations and risks involved.

What this story teaches us

In cross-border disputes, it is worthwhile to maintain pressure on the legal process while actively seeking a way to reach an agreement. Mediation is successful when it is preceded by a thorough analysis of the evidence and arguments and a calculation of the litigation risk. Pragmatism is sometimes better than "perfection": a secure solution today is often better than the uncertainty of tomorrow.

These results are the outcome of our many years of process experience combined with flexibility and a creative approach, thanks to which we find effective, non-obvious solutions for our customers.

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