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Prnjavorac

"Our protection is not in our weapons, nor in science, nor in hiding.

Our protection is right and the law "Albert Einstein

Damages (Compensation) – Law Office Practice Area

Right to Compensation

Damages (compensation) are the legal mechanism by which an injured party receives a fair remedy for loss suffered. The essence of this right is to mitigate, as far as possible, the consequences of the harmful event and to restore the status quo ante. It is a cornerstone of justice: the victim is protected, while the responsible party bears the consequences of their conduct.

In Bosnia and Herzegovina, damages are governed by the Law on Obligations. The law provides that anyone who causes damage is obliged to compensate the injured party. The responsible person must restore the situation that existed before the harmful event; where full restoration is not possible, the remaining loss is compensated in money. In this way, compensation aims to place the injured party as nearly as possible in the position they would have occupied had the damage not occurred.

Types of Damage

As a rule, two categories of damage can be claimed: pecuniary (material) and non-pecuniary (non-material).

Pecuniary (Material) Damage

It covers all financial and physical losses – diminution of assets or prevention of their increase. Examples include:

Damage to or destruction of property: e.g., vehicle damage in a traffic accident; damage to a house or other assets.
Costs and expenses: e.g., medical treatment, rehabilitation, medications, repair costs, and other expenditures caused by an event.
Lost profits (lost earnings): income that an injured party failed to realize because they could not work for a time or a business opportunity did not materialize.

Non-Pecuniary (non-material) Damage

It concerns intangible injuries to personality rights and the suffering that has no direct market value. Although money cannot undo pain or impaired health, courts award fair monetary compensation to acknowledge the harm and provide satisfaction. Examples include:

Physical pain and mental anguish: e.g., pain from fractures, post-traumatic stress.
Fear (fright): intense fear or lasting trauma during or after the event, such as fear for one’s life in a traffic accident.
Impairment of life functions / disfigurement: permanent disability or altered appearance that diminishes quality of life and the ability to perform usual activities.
Grief due to loss of a close person: compensation to family members for the death of a close relative or severe disability caused by a harmful event.

How to Pursue a Damages Claim

To realize the right to compensation, the injured party must initiate an appropriate procedure. Prnjavorac Law Office represents clients through every stage – from the initial consultation and filing a claim with an insurer or responsible party, to conclusion of court proceedings where necessary. A typical claim proceeds through these steps:

Evidence gathering and documentation:

Collect all relevant records concerning a harmful event: medical documentation, police/accident reports, photographs of damage, witness statements, invoices, and other proof substantiating the scope of loss.

Submitting a claim (out-of-court):

In many cases, a formal claim for compensation is sent to a responsible party (tortfeasor) or their insurer. The claim sets out the facts, legal basis for liability, the amount sought, and attaches evidence. Our team prepares these claims to protect your rights and secure a strong negotiating position.

Negotiations and settlement:

Many matters resolve without lengthy litigation. Insurers or the responsible party may make a settlement offer. We negotiate to achieve an optimal settlement out of court. The advantages are faster payment and lower costs – but we ensure any amount is fair and consistent with case law.

Court proceedings:

If negotiations do not yield an adequate offer, we file a lawsuit with the competent court. In litigation, counsel prepares pleadings, represents an injured party at trial, and proves liability and quantum through expert reports and other evidence. The court then renders a judgment determining compensation according to the law and the principle of fairness. In BiH, when deciding non-pecuniary damages, courts apply fairness standards and often take prior case law into account to ensure awards are reasonable and consistent.

Statutory Deadlines (Limitation Periods) - Bosnia and Herzegovina

An injured party’s rights are not unlimited in time – the law prescribes deadlines within which a claim for damages must be brought. If timely action is not taken, the claim may become time-barred. Under the Law on Obligations of Bosnia and Herzegovina, two key limitation periods apply:

Subjective period: Three years from the day the injured party learned of the damage and of the person responsible. Practically, the clock starts when an injured party becomes aware of both the harm and the liable party (e.g., from the date of a traffic accident or, if later, from the date the tortfeasor’s identity is established).
Objective period: Five years from the date of a harmful event, regardless of the injured party’s knowledge. This is the ultimate cutoff after which a damages claim can no longer be pursued. Once five years have elapsed from the event, a defendant may successfully invoke the statute of limitations, resulting in loss of the right to compensation.

Note: If the damage was caused by a criminal offense, longer limitation periods apply in line with the limitation of criminal prosecution for that offense. In other words, a civil claim for damages will not become time-barred as long as the criminal-law limitation period has not expired. This ensures that the injured party does not lose civil protection before the related criminal matter could be prosecuted.

Representation by Prnjavorac Law Office

Prnjavorac Law Office has many years of experience representing clients in damages cases across Bosnia and Herzegovina. We act for individuals and companies, whether as plaintiffs seeking compensation or as defendants contesting unfounded claims. Our approach is meticulous and results-oriented:

Expert case evaluation. We conduct a thorough legal analysis of every matter. After reviewing the facts and documentation, we clearly set out the legal basis, an estimated compensation range, and the prospects of success – so you can make informed decisions.
Strategy and evidence preparation. Based on the analysis, we design the optimal litigation or settlement strategy. We gather the necessary evidence, engage court experts where appropriate, and rely on the relevant statutory provisions and current case law/jurisprudence to substantiate liability and quantum (a required or allowed amount, especially an amount of money legally payable in damages).
Efficient conduct of proceedings. Whether negotiating with an insurer or litigating, we protect your interests vigorously and professionally. We first seek a fair settlement whenever feasible to secure faster payment at lower cost. If court proceedings are required, we use every lawful procedural tool – from timely filing of the lawsuit and submissions to representation at hearings and appeals where warranted.
Maximum recovery in the shortest time. Our goal is to obtain the most favorable compensation available under the law – material (pecuniary) damages such as costs, repair, lost profits, and non-material (non-pecuniary) damages for pain, suffering, fear, and other intangible losses – as promptly as possible. Service is tailored to the specifics of each client and each harmful event.

If you need an experienced damages attorney (lawyer for compensation claims) in Bosnia and Herzegovina, you can rely on our firm. Contact us for advice or representation – we are here to protect your rights and help you obtain fair compensation for the loss you have suffered.

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