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ARTICLE · 17 MAY 2018

Strict Application Of Security For Costs Rules

Elias Neocleous & Co LLC
Elias Neocleous & Co LLC
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Elias Neocleous & Co LLC

Elias Neocleous & Co LLC

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In Cyprus, as in most jurisdictions, a defendant in litigation which fears that the claimant may be unable to satisfy costs orders made against it can apply to the court for a security for costs order.

CyprusLitigation, Mediation & Arbitration

In Cyprus, as in most jurisdictions, a defendant in litigation which fears that the claimant may be unable to satisfy costs orders made against it can apply to the court for a security for costs order. In civil proceedings, the courts - in certain circumstances - can order the claimant to provide security for the defendant's costs after the trial has ended. However, specific requirements must be fulfilled, and the courts are strict in applying the rules.

Security for costs rules

Security for costs orders are regulated by Order 60 of the Civil Procedure Rules. The issuance of such an order is at the discretion of the courts, which must be satisfied that there is a reasonable concern that, if the claim fails, the claimant will not pay the defendant's costs. However, specific conditions must be met for the court to make a security for costs order:

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