FINLAND Law and Practice Contributed by: Tuuli Timonen, Annika Lampela and Tony Chokairy, Dottir Attorneys
Courts commonly grant such measures where imme- diate protection is required, and the arbitral tribunal has not yet been constituted or lacks enforcement powers. Similarly, interim relief may be sought while parties are engaged in mediation or other dispute res- olution processes if there is a need to secure assets or preserve rights pending resolution of the dispute. Where interim relief is granted before the main pro- ceedings have been initiated, the applicant must com- mence proceedings on the merits within one month from the date of the decision. This may take the form of court proceedings or another process capable of leading to an enforceable decision, such as arbitra- tion. Failure to do so will result in the interim measure being revoked. 6.3 Timing of Applications for Interim Relief Applications for interim relief may be made before the initiation of formal proceedings or during ongoing liti- gation or arbitration. In urgent situations, courts may grant interim measures on an ex parte basis without hearing the opposing party in advance. Where an interim measure is granted before the main proceedings have been initiated, the applicant must bring the principal action (the claim on the merits) within one month of the decision granting the meas- ure. If the main proceedings are not initiated within that timeframe, the interim measure will be cancelled and the defendant may be entitled to damages result- ing from the measure. 6.4 Security for Costs Finnish procedural law does not generally provide for security for costs, meaning that a party cannot typi- cally be required to provide security for the opposing party’s legal costs in the proceedings. However, this should be distinguished from the requirement to provide security in connection with interim relief. When applying for interim measures, the applicant is typically required to provide security to cover the opposing party’s potential damages if the interim measure later proves to have been unjustified. Security is also commonly used in arbitration. Arbi- tral tribunals may, under applicable institutional rules,
require a party seeking interim measures to provide appropriate security. For example, under the FAI Arbi- tration Rules, the tribunal may make the granting of an interim measure conditional upon the requesting party providing security to cover potential costs or damage
caused by the measure. 6.5 Interim Injunctions
Parties may apply for interim injunctions to prevent conduct that could cause harm or undermine the effectiveness of the final judgment. Interim injunctions may either prohibit specific actions or require certain steps to be taken. Such measures are typically granted on an inter partes basis, but in urgent cases the court may issue an inter- im injunction ex parte without hearing the opposing party in advance. In the Finnish Code of Judicial Procedure, interim injunctions do not constitute a separate category of relief but form part of the general regime for interim measures. Accordingly, the same statutory require- ments apply. The applicant must demonstrate a plau- sible claim on the merits and a risk that the applicant’s rights would otherwise be jeopardised or significantly impaired. In addition, the measure must be propor- Finnish jurisdiction does not include a formal summa- ry judgment mechanism comparable to that used in many common law jurisdictions. Disputed commercial claims are usually resolved after full written briefing and an oral hearing on the merits. However, the courts may resolve a case without a full hearing in a so-called simplified procedure if the claim is clearly unfounded or if the relevant facts are undisputed and the case can be decided as a matter of law. Simplified procedures are somewhat common in straightforward debt collection matters or uncon- tested claims, where the court may issue a judgment based on written submissions alone. In practice, such situations are however relatively limited, and most commercial disputes proceed to a main hearing where evidence is presented. tionate in the circumstances. 6.6 Summary Judgment
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