DENMARK Law and Practice Contributed by: Thomas Norvold, Søren Locher, Anne Mie Lund and Pawel Weigel, Fabritius Tengnagel & Heine
lawyer”, can obtain Danish authorisation if they can demonstrate that they have been actively and regularly involved in the Danish legal system for at least three years. It should be noted that, as a general rule, parties can represent themselves in a case. However, the court can order a party to be represented by an attorney-at-law if the court assesses that the party is unable to conduct the case effectively without the assistance of an attorney. In addi- tion, a party can be represented by close rela- tives, individuals from the same household or an employee, under certain conditions. 2. Litigation Funding 2.1 Third-Party Litigation Funding Litigation funding is not regulated in Danish law, so there are no limitations regarding litigation funding in Denmark. 2.2 Third-Party Funding: Lawsuits All lawsuits are available for third-party funding. 2.3 Third-Party Funding for Plaintiff and Defendant Third-party funding is available for both the plaintiff and the defendant. 2.4 Minimum and Maximum Amounts of Third-Party Funding There are no minimum or maximum amounts that a third-party funder can fund in Denmark. 2.5 Types of Costs Considered Under Third-Party Funding The costs a third-party funder will usually con- sider funding are those of the client’s attorney’s fees, court fees and adverse costs ordered by the court (if a case is lost).
If the case is assessed to require a court- appointed expert for the party to obtain relevant evidence (eg, regarding technical matters), the third-party funder will also consider funding such costs. 2.6 Contingency Fees Attorneys’ fees in Denmark are regulated by the Code of Conduct of the Danish Bar and Law Society, which was most recently amended on 1 September 2022. Previously, it was not possible for an attorney to agree that they would receive a percentage of the amount won in the case. Under the new regulation, there is no such pro- hibition. However, an attorney cannot demand a higher fee for their work than what can be considered reasonable, pursuant to Section 126, Paragraph 2 of the Administration of Jus- tice Act. Furthermore, an attorney cannot enter into agreements with clients or others where the fee is to be determined in a manner that could affect the attorney’s independence during the performance of their duties. As the rules are relatively new, there is currently no established practice that sets out the specific limits for a performance-based fee. 2.7 Time Limit for Obtaining Third-Party Funding There are no time limits within which a party to the litigation should obtain third-party funding.
3. Initiating a Lawsuit 3.1 Rules on Pre-action Conduct
The parties are not required to take any steps before initiating civil cases in Denmark. However, in regard to debt collection, it is required by law to send a claim letter with a deadline of ten days for payment of the debt. If this requirement is
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