Facts
The [X.] Insurance AG (appellant) and [A.] (appellee) were involved in a lawsuit concerning benefits from a collective daily sickness benefit insurance. The appellee had filed a complaint with the Insurance Court of the Canton of Aargau and demanded payment of CHF 124'930.32. The Insurance Court ordered the appellant to pay the appellee CHF 3'015.95 plus interest at 5% from June 23, 2008, and dismissed the complaint in all other respects. The lower court did not award any party compensation.
The appellant requested the Federal Court to award her party compensation of CHF 11'424.30, plus CHF 456.95 in reimbursement of expenses and CHF 902.95 in VAT. The appellee requested the dismissal of the appeal and the granting of free legal aid, including legal representation, for the Federal Court proceedings.
Considerations
The Federal Court decided that the appeal in civil matters is admissible, as the amount in dispute exceeds the required amount of CHF 30,000.--. The lower court had not awarded the appellant party compensation, as it was of the opinion that Art. 85 para. 3 IOA precludes party compensation.
However, the Federal Court argued that the case at hand does not concern a social insurance matter, but rather a lawsuit of a private law nature. The refusal of party compensation cannot be based on Art. 85 para. 3 IOA, as this provision only concerns court costs and does not exclude the imposition of party compensation under federal law.
The lower court had therefore wrongly refused the appellant, who had prevailed in the cantonal proceedings to over 97%, the…