Judgment of District Court in Radom, VII Civil Department

26 June 2009

Case No. VII C 126/06

Claiming damages from tortfeasor by injured party residing abroad

1. Austrian citizen, injured in a car accident in Poland, who has received indemnity from his own car insurance, is entitled as a transferee under the contract of transfer concluded in Austria, to claim for damages from tortfeasor on behalf of his insurance company. Austrian law shall be applicable for concluding the contract of transfer by two Austrian entities in Austria. Legal effects of such a contract shall be assessed according to ABGB (Austrian General Civil Code). Austrian law recognizes form of contract of transfer that is debt recovery transfer.

2. The essence of debt recovery transfer is the transfer of the right to recover the debt by the transferor (Austrian insurance company) to the transferee (injured party), in aim to claim for it in court and than transfer the damages to the transfer. Such a transfer is based (the reason for such a transfer) on contract between the transferor and the transferee to transfer the damages to the transferor.

3. The transferee (injured party) is entitled to recover the damages and the duty transfer the damages back to the transferor (insurance company) arises from contract binding both parties. Transferee may also transfer the right to other entities or use it as deduction.