Lisbon Court of Appeal | Arbitration Costs | Costs follow the event principle | Case #114
Case nr. 104/20.3YRLSB-2
If the terms of reference of the ad hoc tribunal specifically provide that the allocation “of the total costs of the arbitration” shall be made on the basis of which party faces loss as per the decree, and that the tribunal shall decide upon such allocation, the rule of distribution of the total costs of arbitration is that the “costs follow the event”, which is also the rule of the Code of Civil Procedure. The fees of the arbitrators are part of the total costs of the arbitration. If only one of the parties loses the entire case, it shall be responsible for the payment of the total costs of the arbitration, including the fees that have been paid to the arbitrators.
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