2024-03-18

Parties Who Voluntarily Dismiss Actions ver Divisible Debts May Move for the Return of Court Costs

On February 20, 2024, Taiwan’s Supreme Court ruled that creditors with divisible claims who voluntarily dismiss their appeals against part of the debtors may request a refund for the withdrawn portion of the appellate court fees.
 
Background Information
 
The plaintiff filed a lawsuit against three newspapers and three journalists, alleging severe damage to the plaintiff’s reputation. The court dismissed the plaintiff's action entirely. After the plaintiff appealed, he withdrew the appeal against one of the newspapers and its journalist. Subsequently, the plaintiff requested a refund for the appellate court fees for the dismissed portion under the third paragraph of Article 83 of the Civil Procedure Code.
 
Legal Dispute
 
Under Article 83 of the Civil Procedure- Can a plaintiff who lost the case request a refund of two-thirds of the appellate court fees in a case where two or more debtors are jointly sued for divisible debts after filing an appeal but then withdrawing part of the said appeal?
 
Court's Opinion
 
The court held that the rights and obligations between parties with divisible claims are independent of each other and therefore each party can independently sue and be sued. Court fees can be calculated separately. Creditors bringing joint lawsuits for divisible claims shall enjoy the benefit of court fee refund for withdrawing part of the lawsuit; otherwise, it would violate the principle of equality. Moreover, the withdrawal of part of the appeal by creditors with divisible claims can also reduce the cost of litigation for the court. Therefore, creditors shall be allowed to request a refund of two-thirds of the appellate court fees for the dismissed portion under the third paragraph of Article 83 of the amended Civil Procedure Code when they withdraw the appeal against some debtors during the appellate proceeding.
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