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Settlement: €91,186.82 in three instalments and extra costs

 
Published: 2026-03-13
Case won · First instance · Construction contract settlement and payment schedule

The settlement agreement set a €91,186.82 payment schedule

The court approved the settlement agreement: the defendant will pay €91,186.82 in three instalments and will additionally compensate the claimant for €998.50 of stamp duty and lawyer’s costs. After full payment, the claimant, as contractor, carries out a warranty inspection and warranty works.

Šiauliai District Court
The case in brief

What happened in the case

The parties ended the construction contract dispute with a settlement agreement. The defendant undertook to pay in three instalments and additionally to compensate €398.50 of stamp duty and €600 of lawyer’s costs; the claimant withdrew the other claims. Warranty obligations are performed after full payment.

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Šiauliai District Court · 13 March 2026The text is provided for information purposes. Information on individuals, private legal entities, addresses, register numbers, land plot data and other identifying data has been anonymised.
Court findings

The court found that

  1. The agreement reflects the parties’ mutual consent

    The court found that the agreement does not conflict with the parties’ interests, mandatory rules or the public interest. The parties confirmed that they understand the consequences of discontinuing the case.

  2. The obligations cover both payments and the warranty

    The approved agreement sets three instalments, a separate €998.50 costs compensation and the claimant’s right to request a writ of execution if the schedule is breached. Within 10 days after final payment, the claimant, as contractor, carries out a warranty inspection together with the defendant, determines whether the defects fall within its warranty liability and performs the works according to a schedule.

Result

The court ruled

The settlement agreement was approved and the case discontinued. The defendant undertook to pay €91,186.82 in three instalments. Separately, by 15 May 2026 the defendant must compensate €398.50 of stamp duty and €600 of lawyer’s costs, €998.50 in total. If the schedule is breached, the claimant may request a writ of execution; after full payment, the claimant, as contractor, carries out the warranty inspection and works. The claimant was ordered to be refunded €1,195.50 of stamp duty.

Consultation

Can a construction debt be paid in instalments while keeping the warranty?

In this agreement the payment schedule is linked to the inspection of warranty defects after payment. The consequences of late instalments are also set out. Send us the documents supporting the debt and your proposed payment schedule. We will assess how to define the terms on payments, the warranty and the consequences of breach.

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Unofficial translation of the anonymised court rulingŠiauliai District Court · 13 March 2026

This is an unofficial translation of the Lithuanian court judgment, provided for information only. The Lithuanian original is authoritative. Read the original (Lithuanian)

Civil case No [anonymised]

Court proceedings No [anonymised]

Procedural decision categories: 3.1.17.3; 3.2.3.2; 3.2.8.3

ŠIAULIAI DISTRICT COURT

RULING

13 March 2026 Joniškis

Judge [anonymised] of the Radviliškis Chambers of Šiauliai District Court, sitting in Joniškis, having examined in written proceedings the application of the claimant [anonymised] and the defendant [anonymised] for approval of a settlement agreement in a civil case brought by the claimant [anonymised] against the defendant [anonymised] for recovery of a debt,

found:

The claimant [anonymised] and the defendant [anonymised] submitted to the court a settlement agreement concluded on 9 March 2026 and asked for it to be approved. They stated that they are aware of the legal consequences of approving the settlement agreement and discontinuing the case.

The application is granted.

At any stage of the proceedings the parties may end the case by a settlement agreement (Article 140(3) of the Code of Civil Procedure of the Republic of Lithuania (hereinafter the CCP)). Given that in concluding the settlement agreement the parties expressed their mutual consent, the settlement agreement does not conflict with the parties’ interests, mandatory provisions of law or the public interest, no other grounds for invalidity of transactions have been established, and there are no other circumstances preventing the court from approving the submitted settlement agreement, the parties’ settlement agreement is to be approved and the civil case discontinued (Articles 42 and 293(5) of the CCP).

The parties must be informed that, under Article 294(2) of the CCP, once the case is discontinued it is not permitted to apply to the court again over a dispute between the same parties, on the same subject matter and on the same grounds.

The claimant asks the court to refund 75% of the stamp duty, which is refundable (Article 87 of the CCP).

Acting under Article 140(3) and Article 293(5) of the Code of Civil Procedure of the Republic of Lithuania, the court

rules:

To grant the application.

To approve the settlement agreement concluded by the claimant [anonymised] and the defendant [anonymised] on the following terms:

1. The defendant undertakes to pay the claimant €30,395.61 no later than 15 April 2026, thereby satisfying 1/3 of the claimant’s claims;

2. The defendant undertakes to pay the claimant €30,395.61 no later than 15 May 2026, thereby satisfying 1/3 of the claimant’s claims;

3. The defendant undertakes to pay the claimant €30,395.60 no later than 15 June 2026, thereby satisfying 1/3 of the claimant’s claims;

4. The defendant undertakes, no later than 15 May 2026, to compensate the claimant for 25% of the stamp duty paid by the claimant, amounting to €398.50, and to compensate €600.00 of costs of lawyer’s assistance;

5. The claimant waives all other claims. The parties shall not reimburse each other for litigation costs not covered by this agreement. The parties agree that litigation costs relating to service of procedural documents, if any are incurred, shall be borne by the parties in equal shares;

6. The parties agree that if the defendant fails to pay the amounts specified in clauses 1–3 of this settlement agreement within the set time limit, pays only part of the amount, is more than 3 calendar days late with full payment, or is late with at least one instalment under the payment schedule, the claimant shall have the right to apply to the court immediately for a writ of execution for the entire remaining unpaid amount, regardless of the remaining payment deadlines, and to submit the enforcement document to a bailiff for enforcement;

7. After full payment under this settlement agreement, the claimant undertakes, under the construction contract No [anonymised] concluded between the parties on 20 September 2024, to remedy the defects in the works it built or reconstructed for the defendant [anonymised] in accordance with the design and to perform works under its warranty obligations. Relying on the design documentation, no later than 10 days after the defendant’s final payment, the claimant undertakes to carry out together with the defendant an on-site warranty inspection of the completed project, to determine whether and to what extent the defects fall within the claimant’s warranty liability as general contractor, to draw up a schedule for the warranty works and, in accordance with that schedule, to perform the works agreed in advance;

8. The parties declare and confirm that, once the above obligations have been performed, they shall have no claims, proprietary or non-proprietary demands against each other relating to civil case No [anonymised];

9. Relying on Article 87(2) of the CCP, the parties ask the court to refund to the claimant 75% of the stamp duty paid in the case on the claims;

10. This settlement agreement enters into force on the date of signing, and becomes a document having the force of res judicata and enforceable by compulsion once the court ruling approving it and discontinuing the civil case enters into force;

11. The parties confirm that they are aware of the consequences of discontinuing the case set out in Article 294(2) of the CCP, that is, that once the case is discontinued it is not permitted to apply to the court again over a dispute between the same parties, on the same subject matter and on the same grounds. The parties declare that this settlement agreement reflects their true intentions and will, and therefore ask the court to approve it and discontinue the case;

12. The parties ask the court to decide the questions of approving this settlement agreement and discontinuing the civil case in written proceedings, without the parties attending;

13. The parties note that they conclude the settlement agreement of their own free will, without being coerced by anyone, in the absence of deceit, violence, pressure or threats, and of other actions and circumstances of this kind in which this settlement agreement would not have been concluded. The settlement agreement does not conflict with the laws of the Republic of Lithuania and other legal acts, is in the parties’ interests, and does not infringe the rights or legally protected interests of third parties. Each party clearly and irrevocably confirms that it has signed this settlement agreement as a document reflecting its true intentions and will;

14. The settlement agreement is made in one original copy, signed by the parties with qualified electronic signatures.

To refund to the claimant [anonymised] 75% of the stamp duty, that is €1,195.50 (one thousand one hundred and ninety-five euros 50 cents).

To discontinue civil case No [anonymised].

This ruling may, within 7 days of the date of delivery of a copy of the ruling, be appealed by a separate appeal to Šiauliai Regional Court through the Radviliškis Chambers of Šiauliai District Court.

Judge [anonymised]

 

 

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