Dismissal of the Appeal against the Order for Security for Costs

Facts

X.__ ______ (Appellant) filed an appeal against the decision of the High Court of the Canton of Thurgau dated 25 February 2014. The High Court had therein granted the provisional enforceability of the decision of the District Court and obliged X.__ ______ to provide security of CHF 15,000 by 20 March 2014 for the party compensation potentially payable to [Y.] , Inc. (Respondent) in the appeal proceedings.

The Federal Supreme Court only entered into the appeal insofar as it concerned the order for security for costs. It dismissed the appeal on this point. The High Court will therefore have to set the Appellant a reasonable new deadline for the payment of the security for costs of CHF 15,000.

Considerations

The Federal Supreme Court stated that in the case of a "significant risk to the party compensation" within the meaning of Art. 99 para. 1 lit. d CPC, the court has to assess at its discretion when such a risk exists. The Federal Supreme Court exercises restraint in reviewing discretionary decisions and only intervenes if the cantonal instance has made improper use of the discretion available to it.

In the present case, the High Court considered the risk to the party compensation to be given, as the…