Blog
17 Feb 2020
A Backlog of Civil Cases Awaits Resolution
Do you own a few rental properties? Are you renting out a garage or parking space? Leasing land for advertising or a ski equipment rental? Selling a car? Lending money to a friend? Acting as a guarantor for a loan and want to have recourse if necessary? Or maybe you already have a debtor and are signing a settlement regarding repayment of arrears? Lending your brother-in-law a car because his is in the repair shop? Storing someone’s important documents? Forming a civil partnership, general partnership, or limited liability company with a cousin? Or maybe a friend has asked you to prepare an analysis, report, or even just lay tiles in the bathroom and you’re glad to earn some extra money?
Yes, in all these scenarios, it is best to safeguard your interests and sign an appropriate agreement with the other party. But what's the use of such an agreement if court cases drag on for years? During this time, you have to bear the costs of court fees, lawyers, hearings, travel, and experts, and the case sits on a shelf with even the court's secretarial staff reluctant to discuss it when you call for more information.
Opt for Arbitration Instead of Court
The answer to these concerns is electronic arbitration. Ultima Ratio can resolve virtually any dispute between private individuals not engaged in business activities, and the parties will receive a ruling—issued by a notary—within 3 weeks of filing the claim. Such a ruling has the legal force of a state court judgment, once it is granted enforceability (Art. 1212 of the Code of Civil Procedure). Therefore, it can be handed to a bailiff under the same conditions as other final judgments.
Convenience and Lower Costs
The claim is submitted online, and the entire process is conducted from home. Evidence can be a scanned document, photo, video, audio recording, or screenshot from a computer or phone—in short, anything that can be saved as a computer file. As such, the process is convenient, and costs can be up to 70% lower than those incurred in a traditional court.
Once the Contract is Signed, the Other Party Cannot Back Out
There is only one condition: the contract must include an arbitration clause. It usually reads as follows: “Any disputes arising out of or in connection with this agreement shall be resolved by Ultima Ratio, the First Electronic Arbitration Court of the Association of Notaries of the Republic of Poland in Warsaw, in accordance with the Rules of this Court in force on the day proceedings are initiated.”
Once a contract with such a clause is signed, the other party cannot change their mind or withdraw. The law clearly states that such a case can only be submitted to Ultima Ratio. Even if a common court were inclined to consider it, it would have to reject it at the outset—in accordance with Art. 1165 of the Code of Civil Procedure.
The emergence of Ultima Ratio thus offers the proverbial Kowalskis and Nowaks the opportunity to receive swift judgments without leaving home. So, can private individuals now sign contracts and finally rest easy?