THE BOTTOM LINE
- Increased Cost Exposure: Companies and agencies that reverse a decision after an appeal is filed face higher cost awards. A Dutch court confirmed that when an appellant uses both legal counsel and a subject-matter expert (e.g., medical, technical), the recoverable costs can be increased by 50%.
- Strategic Use of Experts: This ruling provides a clear financial incentive for businesses to engage specialized experts alongside their legal team in administrative appeals. The costs for this expertise are explicitly recoverable under a multiplier rule.
- Documentation is Key: To secure a higher cost award, businesses must demonstrate that both the legal representative and the expert actively contributed to the case, such as by submitting reports or attending hearings.
THE DETAILS
The case involved an appeal against a decision by the UWV, the Dutch employee insurance agency. After the individual filed an appeal with the court, the UWV re-evaluated its position and issued a new decision that fully granted the appellant’s claim. Consequently, the appellant withdrew their court appeal but filed a motion requesting that the UWV be ordered to pay for the legal and expert medical costs incurred in filing the appeal. This set the stage for the court to rule solely on the calculation of these costs.
Under Dutch administrative law, if a government body concedes after legal proceedings have begun, it is generally required to reimburse the appellant’s legal costs. The key question in this case was not whether costs should be paid, but how to quantify them when multiple professionals are involved. The appellant was represented by both a legal counsel and a medical expert advisor, who both submitted work and attended the court hearing. The court had to determine if the fees for both could be recovered.
The court’s decision hinged on a specific provision within the Dutch Administrative Procedural Costs Decree (Besluit proceskosten bestuursrecht). This rule states that if assistance is provided by both a legal representative and another expert, the total compensation can be set at a maximum of 1.5 times the standard amount awarded for a single representative. The court calculated the standard fixed fee for the legal work at €1,814. Recognizing the distinct and necessary contributions of the medical expert, it applied the 1.5x multiplier, ordering the UWV to pay a total of €2,721 in costs, plus the reimbursement of the separate court filing fee.
SOURCE
Rechtbank Zeeland-West-Brabant
