Significant changes in the rules of Hungarian civil proceedings

By Dr. Ágnes Borbás, Kovácz Réti Szegeheö

The Hungarian legislator also con­tinues to apply its best efforts to make sure civil proceedings are concluded within the briefest possible time. In the current Act on Civil Proce­dure, actions filed for the enforce­ment of claims in excess of HUF 400 million have been regulated under the title "high-profile actions". In such actions, the deadlines of the courts and the parties are shorter than normal.

The new Act on Civil Procedure intends to accelerate the civil court proceedings with a view to adopting a modern act that is in accordance with the international practice and expec­tations and ensures the effective en­forcement of substantive rights.

The Civil Litigation Codification High Commission shall elaborate the concept and theory of the act by the second quarter of 2014. According to the plan, the final proposal shall be discussed by the government at the end of 2015 and drafted by the parlia­ment in 2017.

A change, though independent of the acceleration of the civil proceed­ings but considered significant, is that the scope of arbitration courts also operating in Hungary has diminished.

Proceedings commencing after 13 June 2012 may not be settled by arbi­tration where the subject matter of the dispute is an asset owned by the state or municipalities situated in the area within the boundaries of Hungary (na­tional assets), including the rights, claims and privileges related to such asset.

Dr. Ágnes Borbás, Deputy Managing Partner
Kovácz Réti Szegeheö, Budapest, Hungary
T: +361 275 27 85
E: borbas.agnes®; W:

Dr. Ágnes Borbás is a Deputy Managing Partner of Kovácz Réti Szegeheö Attorneys at Law and the leader of the Litigation de­partment. She has significant experience in resolving legal disputes and litigation matters, having served as a judge for nnore than 14 years.

Kovácz Réti Szegeheö Attorneys at Law was established in 1992 and is one of the old­est independent Hungarian law firms. lt is active in Hungarian, English, German and French and operates over a wide spec­trum within the fields of civil and business law, for both domestic and international clients. Kovácz Réti Szegeheö Attorneys at Law has gained profound experience in the fields of corporate law, mergers and acquisitions, construction law, real estate Iaw, tax law, securities Iaw, bankruptcy law, }abour and employment (also including health & safety), competition Iaw and intel­Iectual property law.

published: January 2014

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