Buitengerechtelijke kosten

Extrajudicial costs

Extrajudicial costs are the costs incurred by a party to collect a claim or resolve a dispute without commencing judicial proceedings. Such costs may, subject to certain conditions, be recovered from the opposing party.

Extrajudicial costs comprise all expenditures incurred prior to the commencement of proceedings, including collection activities, negotiations and legal advice. They enable the creditor to recover its claim efficiently without the higher costs and extended duration of court proceedings.

Such costs are relevant in that they promote access to justice and may avert unnecessary litigation. In practice, they are commonly claimed in collection proceedings, where the Extrajudicial Collection Costs (Standards) Act caps the maximum amount that may be passed on to the debtor.

Entitlement to reimbursement depends on the reasonableness of the costs incurred and the circumstances of the case, and must be expressly claimed.

“The attorney sent a notice of default in which, in addition to the principal sum, the extrajudicial costs were also claimed.”

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