NORWAY Law and Practice Contributed by: Christian Reusch, Jenny Sandvig, Oda Lauksund Engamo and Therese Sætre Løfsgaard, Advokatfirmaet Simonsen Vogt Wiig
the third party covers the legal costs incurred by the other party if the funded party is ordered to pay these. 2.6 Contingency Fees The use of contingency fees is not regulated by the Dispute Act. However, the Norwegian Bar Associa- tion’s code of conduct states that a lawyer must not enter into an agreement with clients or others that he/ she shall receive a fee on a percentage or share basis in relation to the result or object of the case, whether this concerns an amount of money or another form of remuneration. The provision does not prohibit “no cure no pay” agreements; it is only violated when a “no cure no pay” agreement is combined with a share- based fee. 2.7 Time Limit for Obtaining Third-Party Funding There are no time limits by when a party to litigation should obtain third-party funding. Before bringing an action, a party shall give notice in writing to the party against whom the action may be brought. The notice shall contain information about the claim and the grounds for the claim and shall invite the opposing party to respond to the claim and the grounds for the claim. The party who receives notice of a claim shall respond to the claim and the grounds for the claim within a reasonable time. If the claim is contested in whole or in part, the party shall specify the grounds upon which it is contested. If the party is of the opinion that they have a claim against the party who has given notice of claim, they shall, at the same time, give notice of the claim and the grounds for it, and invite the opposing party to respond. 3. Initiating a Lawsuit 3.1 Rules on Pre-Action Conduct A person who gives notice of claim or who contests a notified claim is also obliged to provide informa- tion about important documents or other evidence of which they are aware and of which they cannot expect the opposite party to be aware. This applies irrespec-
tive of whether such evidence supports the party’s position or the position of the opposing party. The parties shall investigate whether it is possible to reach an amicable settlement of the dispute before action is brought, and shall make a strong attempt at settlement, if necessary, through conciliation before a conciliation board, through non-judicial mediation or by bringing the dispute before a non-judicial dispute resolution board. The steps described above are not procedural require- ments, so the non-fulfilment of these obligations is not an obstacle to legal proceedings, although it may have an impact on the liability for legal costs. 3.2 Statutes of Limitations Claims for money and other performances are subject to limitation periods in accordance with the provisions of the Act relating to the limitation period for claims. The general limitation period is three years, but certain types of claims are subject to a shorter or longer limi- tation period: for instance, there is a longer limitation period for claims based on money loans. Special rules also apply to claims for damages that do not arise from a contract. Generally, the limitation period runs from the date on which the creditor first has the right to demand per- formance. If the creditor has not asserted the claim because they lacked the necessary knowledge of the claim or the debtor, the period of limitation expires at the earliest one year after the date on which the credi- tor obtained or should have obtained such knowledge. There are several ways in which the limitation period can be interrupted, such as when the debtor express- ly, in word or deed, has acknowledged their debt to the creditor. Furthermore, and important practically, the limitation period is interrupted when the creditor submits a writ of summons. 3.3 Jurisdictional Requirements for a Defendant Jurisdictional requirements are regulated by the Dis- pute Act and the Lugano Convention.
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