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26 ASA Bull. 241 (2008)
Contigency Fees/Pactum De Palmario Civil Law Approach

handle is hein.kluwer/asab0026 and id is 261 raw text is: Contingency Fees / Pactum De Palmario 'Civil Law Approach DANIEL WEHRLI2 I. INTRODUCTION In a major arbitration I was chairing, one of the Parties' counsel, when preparing the cost submission, called me and asked for directions on the manner of presenting his client's costs. From one of his questions I could infer that he and his client had concluded a pactum de palmario and that he intended to claim the higher rate applicable in case of success. The question that came to my mind after that telephone conversation was whether the counsel concerned had a duty to disclose this arrangement and, if so, whether the Arbitral Tribunal had a duty to request him to make such disclosure if he does not make it out of his own initiative. In that case, this question became obsolete as the counsel concerned represented the losing party and, furthermore, the higher fee he was claiming would have been reasonable under the circumstances even if it had been agreed as an unconditional rate. Nevertheless, I considered it worthwhile to give further thought to the issue. This is why I accepted to address this topic at the ASA conference in Bern of September 21, 2007. This article is a revised and expanded version of the presentation given at the ASA conference held in Berne on September 21, 2007 on the subject of 'Professional Ethics of Counsel in International Arbitration'. 2 Partner of the Zurich based law firm Gloor & Sieger, Utoquai 37, 8008 Zurich (dwehrli@gloor-sieger.ch, www.gloor-sieger.ch). 26 ASA BULLETIN 2/2008 (JUIN) 241

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