Mediation Italy

Naples Court of Appeal: Lack of Mediation Information Allows Annulment of Lawyer-Client Contract

By ADR Journal Editorial Desk Published 1 source Contract Annulment Italy Mediation Professional Services Italy

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TL;DR

  • Naples Court of Appeal: Lawyer's failure to provide written mediation information allows annulment of engagement contract.
  • Obligation applies even for voluntary mediation; omission does not need to affect litigation outcome.
  • Lawyer can still claim compensation under unjust enrichment principles after annulment.

Overview

The Naples Court of Appeal ruled that if a lawyer does not provide written notice to a client about the option of mediation as required by law, this omission can lead to the annulment of their service contract.

The ruling covers all forms of mediation, including voluntary cases, and states that the omission does not need to have process implications for annulment to apply.

The decision confirms that annulment of the professional contract does not prevent the lawyer from seeking compensation through an unjust enrichment claim.

What Happened

An Italian lawyer sought payment for professional services provided in appellate proceedings and a related injunction process.

His clients contested, arguing the lawyer failed to meet the legal obligation under Article 4 of Legislative Decree 28/2010 to inform them in writing about mediation possibilities at the outset of the engagement.

The Naples Court of Appeal found the omission was not disputed with sufficient evidence by the lawyer, and the obligation applies even if mediation is only a voluntary procedure.

The court ruled the contract for legal services was annullable due to this omission but accepted the lawyer's subordinate claim for unjust enrichment, granting an equitable indemnity for the value of work performed.

Context

Italian law (D.lgs. 28/2010) requires that lawyers formally inform clients about the possibility and advantages of mediation at the outset of engagement.

Recent reforms have confirmed the continuing relevance of this notice obligation.

Why It Matters

  • The ruling affirms that lawyers in Italy must provide written information about mediation options to clients regardless of the mediation's mandatory nature.
  • Failure to comply exposes lawyers to contract annulment and potential loss of the agreed fee, though unjust enrichment actions remain possible.
  • This may increase scrutiny of how lawyers handle mediation disclosures in legal engagements.

Sources

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