Dispute resolution

The law firm represented a company established in Norway in a dispute with a Lithuanian company regarding the award of a debt for intermediation services related to the newly developed universal grid-connected hybrid electric vehicle (iPHEV) transmission system. The debtor, a company registered in Lithuania, stated that it had never entered into any agreement with the Norwegian company, therefore the obligation to pay the debt to the Lithuanian company did not arise. Another cooperation agreement between the Norwegian company and other Lithuanian company controlled by the same shareholders allegedly does not prove a relationship between the companies involved in the dispute. Our law firm was able to prove the existence of an oral agreement between the parties to the dispute. The written evidence in the case, the explanations of the representatives of the parties, as well as the explanations of the witnesses, established that the plaintiff, a company established in Norway, had entered into an oral agreement with a Lithuanian company regarding intermediation services. The case law of the Court of Cassation, formed by interpreting and applying the legal norms regulating the provision of remunerated services, clarifies that the contract for the provision of remunerated services is best distinguished from the subject-matter of the contract by other related contracts - intangible (intellectual) or other services not related to the creation of the tangible object, i. e. these services may or may not have an objective expression. Intermediation is a type of service, the essence of which is to find a buyer for goods (services), a producer (service provider) - a customer, and so forth. Having assessed the evidence gathered in the case, the court ruled that there were sufficient grounds to believe that the Norwegian company had duly fulfilled its obligations to provide intermediation services to the Lithuanian company and considered this to be a sufficient basis for satisfying the debt claim. The claim was upheld in full, with the Norwegian company being awarded a debt of approximately half a hundred thousand euros from the Lithuanian company.

The Court of Appeal upheld the conclusions of the Court of First Instance and dismissed the appeal of the Lithuanian company. The total debt claimed, together with legal costs and 8 percent interest has been recovered in full from the debtor since the date on which the proceedings were instituted.

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