Foreign claimants might be confronted with a duty to provide
security for costs if they commence court proceedings in Germany.
For example, claimants from countries such as the UK, the US,
Canada or China are generally under an obligation to provide
security. If security is ordered (I), the amount of the security
can go into the millions (II). Therefore, in practice, this can be
an important hurdle for claimants to jump in their pursuit of
justice.
I. Foreign claimants' obligation to provide security
for costs
A. Rule: General duty to provide security upon
defendant's request
Under German law, there is a general duty for foreign claimants
to provide security for the costs of court proceedings when
requested by the defendant (section 110 para. 1 German Civil Code
(ZPO)). Foreign claimants are all claimants who do not have their
habitual place of residence in a Member State of the European Union
or in a signatory state of the Agreement on the European
