SPAIN Law and Practice Contributed by: Alfonso López-Ibor, Pablo Henriquez de Luna, Virginia Jover and Carmen Serrano, López-Ibor DPM
• any evidence that was unduly rejected for admis- sion by the first instance court, provided that the decision dismissing such evidence was appealed or challenged at the hearing in the first instance; • any evidence proposed and admitted by the first instance court which was not ultimately presented, for reasons not attributable to the applicant; and • any evidence relating to relevant facts that may have arisen after the hearing took place, as long as the party can prove it became aware of such evidence subsequently. 10.5 Court-Imposed Conditions on Granting an Appeal The filing of an appeal is subject to a deposit of EUR50, which is reimbursed to the party in the event the challenge is upheld in part or in full. 10.6 Powers of the Appellate Court After an Appeal Hearing The provincial court may confirm, dismiss or reverse, either partially or fully, the judgment issued by the first instance court. The judgment issued by the appeal court cannot be more harmful to the appellant than the judgment issued by the first instance court. 11. Costs 11.1 Responsibility for Paying the Costs of Litigation Under Section 394 of the SCPA, in declaratory pro- ceedings, the costs that arise during the proceedings will be borne by the party whose claims have been rejected, unless the court considers that there are rea- sons to decide otherwise. These reasons may include the legal or factual com- plexity of the case. The costs the losing party has to bear are court agents’, lawyers’ and experts’ fees (limited to one third of the amount in dispute, unless the losing par- ty’s conduct is deemed imprudent, in which case the aforementioned limit does not apply). Expenses for copies of documentation, judicial notifications, faxes or notices may also be included.
Section 245 of the SCPA allows parties to challenge the amount of the costs to be paid within a period of ten days from when the costs are set, if that party con- siders the amount to be inappropriate or excessive. 11.2 Factors Considered When Awarding Costs When awarding costs, the court considers the extent of the upholding or dismissal of the pleas, the com- plexity of the case and any imprudence on the part of the parties. 11.3 Interest Awarded on Costs Interest awarded on costs is a controversial issue in Spanish jurisdiction. Some courts consider that inter- est is applicable to costs, while others disagree. Some authors and case law consider that the decree approving the costs (Article 244.3 SCPA) constitutes an enforceable title. The party that must bear the costs is granted a 20-day period from the date the costs are fixed to voluntarily pay. If payment is not made in this period, accrued interest will be added to the amount of the costs. 12. Alternative Dispute Resolution (ADR) 12.1 Views of ADR Within the Country Although there has been an increasing reliance on ADR mechanisms in recent years, this trend has been consolidated through the mandatory requirement introduced under OL 1/2025. As of April 3, the date on which it came into effect, it is mandatory to resort to one of these mechanisms before initiating judicial proceedings. In accordance with the OL 1/2025, the following are recognised as means of dispute resolution: mediation, conciliation, public or private negotiation (either directly or through legal representation), and a binding offer (see 3.1 Rules on Pre-action Conduct ). In any case, in the field of commercial litigation, it is expected that the pre-existing trend prior to the entry into force of the Organic Law will continue, with arbi-
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