Buitengerechtelijke kosten
Extra-judicial costs (BGK)
Costs a victim incurs for legal assistance and damage settlement outside court proceedings, compensated by the liable party under Article 6:96 BW.
Extra-judicial costs
Extra-judicial costs (also: BGK) are the reasonable costs a victim incurs to obtain compensation without needing court proceedings — such as the costs of a personal-injury jurist, lawyer or other representative who negotiates with the liable party or its insurer. The legal basis is Article 6:96(2)(b) and (c) BW, under which reasonable costs to establish damage and liability, and to obtain satisfaction out of court, are recoverable as financial loss.
Main features
Practical consequences
In injury practice extra-judicial costs form a substantial part of the total compensation, especially for serious injury requiring lengthy guidance. Insurers critically review submitted BGK claims against the double reasonableness test. In disputes over the amount the court can moderate the costs. Victims are wise to keep all invoices and time sheets so the costs are transparent and substantiated. The court ultimately decides what is reasonable.
“Besides the medical costs the insurer also reimbursed the extra-judicial costs of the legal representative who had conducted the negotiations on the victim's behalf.”
Source: AI
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