Egypt
Answer ... Proportionate fees: These are 5% of the claimed amount if the claimed amount is in excess of EGP 4,000 (Article 1 of the Judiciary Fees Law (90/1944), as amended). In case of appeals, the same percentage applies and is calculated based on the value of the appeal claim (Article 3 of the Judiciary Fees Law). However, proportionate fees may not exceed:
- EGP 1,000 for claims exceeding EGP 40,000;
- EGP 2,000 for claims between EGP 40,000 and EGP 100,000;
- EGP 5,000 for claims between EGP 100,000 and EGP 1 million; and
- EGP 10,000 for claims exceeding EGP 1 million (Article 9 of the Judicial Fees Law).
Fixed fees: These are:
- EGP 15 for cases filed before the first-instance court;
- EGP 50 for cases relating to bankruptcy (which fall under the jurisdiction of the economic courts);
- EGP 30 for appeals;
- EGP 75 for cassation appeals; and
- EGP 40 for a request to stay execution (Articles 1, 3 and 4 of the Judiciary Fees Law).
In case of multiple claims in one case, if those claims stem from different sources/instruments, the above fees will apply to each claim individually.
If the case is settled amicably prior to the issuance of a final judgment, only 50% of the fees – whether fixed or proportionate – will be payable. However, if the case is abandoned by the plaintiff or is settled at the first hearing, only 25% of the paid fees will apply.
Other costs of litigation include the following
- Taxes: Value added tax and advocacy tax are payable.
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Bar association fees: These are payable when filing the case and are minimal amounts of around:
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- EGP 75 at first instance; and
- EGP 175 on appeal and cassation.
- This amount is transferred from the court to the bar association.
- Services fund: Again, this is a minimal amount (around EGP 5 to EGP 10).
These amounts are considered the official costs of the case. Additionally, lawyers’ fees are payable, which will vary from one firm to another.
Other costs that may be incurred during litigation include expert fees. The court may, at its discretion or at the request of either party, decide to appoint an expert. In the ordinary courts (ie, not the specialised economic courts), expert fees are generally minimal – between EGP 50 and 500. However, in cases reviewed before the economic courts, expert fees are much higher – they can reach up to EGP 50,000. This is in addition to the execution costs highlighted in question 10.3.
Egypt
Answer ... Yes, contingency fees are permitted in Egypt. However, according to Article 82(2) of the Advocacy Law, lawyers’ fees cannot be calculated exclusively as a percentage of the disputed matter (whether monetary or otherwise). Nevertheless, in practice, many lawyers in Egypt do calculate their fees exclusively as a percentage of:
- the amount collected, when representing the claimant; or
- the amount salvaged, when representing the respondent.
Egypt
Answer ... Third-party funding is not regulated under Egyptian law. However, there are no laws or regulations that prohibit it.
Egypt
Answer ... Parties:
- should carefully consider the value to be attributed to the claim; and
- should not unnecessarily and unreasonably inflate their claims.
Also, as a way to avoid paying hefty execution fees on every attempt at execution – which may turn out to be unsuccessful (see question 10.3) – the plaintiff may seek to apply for a precautionary attachment for a fraction of the awarded amount (instead of an execution attachment for the full awarded amount). If it is confirmed that there are assets or moneys that could be attached, the plaintiff can then proceed to file an executionary attachment for the full amount.
Furthermore, where a case settles, the parties can opt for the plaintiff to abandon the case – in which case only 25% of the court fees that have been previously paid will apply – instead of recording the settlement to close the case, in which case 50% of the court fees will apply.