European Court of Human Rights Finds Albania's Failure to Assess Stamp Duty Exemption Impairs Right to Access to Court

Strategic Insights -

The European Court of Human Rights (ECHR) has ruled that Albania's domestic courts have failed to examine the applicant's eligibility for exemption from stamp duty, thus restricting his right to access to a court. This judgment highlights the shortcomings in the functioning of the State Commission for Legal Aid and the reluctance of judges to award exemptions, as noted by Council of Europe monitoring bodies. The case concerns the applicant's claim for damages for pecuniary and non-pecuniary damage for the loss of life of his family members in an explosion in an ammunition dismantling facility.

Key Takeaways:

  • The domestic courts' failure to assess the applicant's eligibility for exemption from stamp duty constituted a restriction of his right of access to a court.
  • The State Commission for Legal Aid (SCLA) was responsible for considering applications for legal aid, including exemptions from stamp duty, but failed to take a decision on the applicant's request.
  • The applicant's representative requested a reduction in the amount of compensation claimed, but the request was not examined by the court.
  • The Court of First Instance returned the claim to the applicant without taking any action, stating that he had failed to put right the deficiencies, including payment of the stamp duty.
  • The Tirana Administrative Court of Appeal quashed the decision and remitted the case to the Court of First Instance, instructing it to assess the value of the claim and determine the amount of stamp duty to be paid.
  • The Ministry of Justice informed the applicant's lawyer that no application form to request exemption from the payment of stamp duty had been prepared yet, and that a number of regulatory acts needed to be adopted before the SCLA could provide such a form.
  • The SCLA could, in some instances, defer the payment of stamp duty or allow payment in several instalments.

Statistics:

  • The applicant paid 12,000 Albanian leks (approximately 98 euros) in fixed stamp duty.
  • The amount of compensation claimed was set at ALL 32,000,000 (approximately EUR 228,000), and the stamp duty payable was 3% of that amount, that is, ALL 960,000 (approximately EUR 6,840).
  • The applicant's monthly allowance was ALL 8,000 (approximately EUR 57).
  • The Tirana District Court severed the claims for damages on 27 January 2012.
  • The applicant requested a reduction in the amount of compensation claimed on 20 November 2014, but the request does not appear to have been examined by the court.

Sources:

  • European Court of Human Rights, Laci v. Albania (Application no. 28142/17), Judgment, 19 October 2021.
  • Code of Civil Procedure (CCP), Articles 104, 105/b, 102, 156, 158/a, and 106.
  • Administrative Courts Act, Article 25.
  • Legal Aid Act 2008, as amended (Law no. 10039 of 22 December 2008, as amended by Laws nos. 143/2013 and 77/2014).
  • Council of Europe, European Court of Human Rights, Third Section, Case of Laci v. Albania.