How to proceed with a claim for damages

What is an action for damages and when can it be brought

An action for damages is a formal means by which the injured party seeks compensation for the harm caused to him or her by the wrongdoer. The law is clear – whoever causes damage to another by breaching a legal duty is obliged to compensate for it. This principle is enshrined in the Civil Code, which distinguishes between two main types of damage: pecuniary and non-pecuniary.
Property damage means a specific financial loss, i.e. a destroyed car, a broken mobile phone or lost profits. Non-pecuniary damage, on the other hand, represents psychological suffering, damage to personal reputation or health. Both are cognizable, they are just proven differently.

A lawsuit is usually brought only when the dispute cannot be resolved amicably. If you have tried to reach an agreement, sent a pre-suit notice, and the other party has not responded, this is when a lawsuit for damages becomes the logical step. Often, the mere threat of a lawsuit will help because the harasser will realize that things are getting tough and will pay the damages. But if not, going to court is the only way you can get compensation in a legally enforceable way.

What types of damages claims are there

It is advisable to focus more now, as it is the type of claim that determines how the whole process works. Each type has its own rules, time limits and evidentiary requirements.

The most common is a claim for damages against a private person or company. Typically after a car accident, damage to property, thwarted contract or professional misconduct. The classic liability structure applies to these claims – you must prove damage, wrongful act, causation and fault. It sounds complicated, but in practice it means that the court looks at whether the damage would have happened at all without the other party’s fault.

A specific case is an action for damages against the state, which is brought when the state, or its authorities, causes you damage. In legal terms, the State is liable under the Act on Liability for Damage Caused in the Exercise of Public Authority. This action concerns two situations:

• Damage caused by an unlawful decision – for example, if a court issues a decision that is later overturned as unlawful, or if the tax office wrongfully charges your account.
• Damage caused by maladministration – for example, when the building authority fails to act for a long time, delays the procedure or wrongly processes the documentation.

Both situations fall under the same law, but each type has its own rules – for example, what you need to do before taking legal action, what evidence to provide or who specifically to take legal action against.

How to proceed before filing a lawsuit

As we mentioned above, the pre-suit notice serves as a final warning before you sue. Most debtors will be impressed by a notice drafted and signed by a lawyer as a more serious threat. As a solution, it is much more effective than the creditor itself repeatedly emailing and calling them to pay the debt. Its purpose is a last ditch attempt to amicably resolve the dispute, but that is not the main reason for sending it. The advantage is that it can be done without having to file a lawsuit, pay a court fee, and risk paying the other side’s litigation costs. Moreover, sending the summons properly is a condition for being able to claim costs in the event of success. So it is never a case of money wasted.

From a legal point of view, this step is important because the court then assesses whether you have tried to settle the matter amicably. Without a challenge, you could find that even if you win the claim, the court will not award costs.

The summons should contain all the key details: who you are, who the claimant is, what damage has been caused, how much you are claiming and by when it should be paid. It is useful to include evidence – photos, invoices or witness statements.

This is a simple but powerful step. Often just a formal letter from a solicitor will make the other party pay because they will understand that you are serious. And if not, at least you are confident that you have met all the requirements and can proceed with a lawsuit with a clear conscience. We’ll be happy to help you with a claim for damages.

Procedure after filing a lawsuit

Once the application has been lodged, the court will start the proceedings. First, it examines the application to make sure it is clear, has all the elements and is filed with the competent court. It then serves it on the defendant, who has the opportunity to be heard. This is followed by the taking of evidence, examination of witnesses, expert reports. The whole process can take several months, sometimes years.

At this stage it is important to be patient and keep an overview. The court will not look for evidence for you, you must prove exactly how the damage occurred, how much and why the defendant should pay for it. If the claim succeeds, the court will order you to pay damages and often costs. If the defendant fails to comply, an application for execution can be made.

Claim for damages against the state

This is a chapter in itself. An action for damages against the state is governed by a special law on state liability for damage caused by an unlawful decision or an incorrect official procedure. This is where the law gives the citizen enormous power.

If an authority makes an illegal decision, acts incorrectly or does not act at all (so-called inaction), the state is liable for this mistake. This can be the tax office that wrongfully assesses tax. Or a court that makes an illegal decision. Or the police who wrongly prosecute you. In all these cases, you have the right to compensation for the damage the state has caused you.

Before you can claim compensation for the damage caused byan unlawful decision, you must make a written claim for compensation to the relevant ministry or other authority (usually the Ministry of Justice, Finance or Home Affairs). Only if the state does not grant the request will the court proceedings come into play.

In order to claim compensation for damage caused by an unlawful decision, the decision must be annulled, modified or declared unlawful by the competent authority.

This means that the decision has been annulled in an appeal or review procedure, or has been annulled by an administrative court as unlawful after an administrative action has been brought, or has been declared unlawful in another procedure, for example in a criminal case or following a constitutional complaint.

Proceedings against the State are always very sensitive. It is necessary to be precise, factual and to have evidence in hand. If you succeed, the state is obliged to compensate you for the damage – including lost profits, legal costs and sometimes non-pecuniary damage. And that’s no small thing.

It pays to have an experienced attorney by your side to guide you through the entire process and handle the legal steps for you. Put your matter in our hands and you will receive legal assistance throughout the entire process. Because a personal injury claim is not just about wording and paragraphs. It’s about strategy. It’s about how to piece together the evidence, how to build an argument, how to respond to the opposing party’s defenses. A lawyer has experience in this – he knows what the court is interested in, what it is not, and what wording carries weight.

Summary

An action for damages is a legal means by which you can get justice if you have been harmed by someone – whether an individual, a company or the state itself. It is used to compensate the wrongdoer for both pecuniary (for example, financial loss, damaged property or loss of profit) and non-pecuniary (for example, damage to reputation or mental suffering) damages. The law is clear that anyone who causes harm to another by breaching a legal duty is liable to pay compensation. Most often, people bring a claim for damages against a private person or company – for example, because of an accident, damaged property or an unfulfilled contract. However, in some cases, the state causes the damage – for example, through an incorrect decision by an authority or its failure to act. In such a situation, an action is brought against the state under Act No. 82/1998 Coll., which deals with liability for damage caused in the exercise of public authority. Before the actual filing of the lawsuit, it is necessary to send a demand for compensation for damages, which can lead to an agreement and save time and money. If there is no agreement, the court will examine all the evidence and, if you are successful, award you not only damages but also costs. The whole process can be challenging and formally complex, so it pays to have an experienced solicitor by your side to ensure you take the right steps, draft the claim and notice and make sure you get what you are rightfully entitled to.