THE NEW COSTS MANAGEMENT PRACTICE DIRECTION: COMING INTO FORCE 1st OCTOBER 2020: READ IT HERE
The new Costs Management Practice Direction comes into force on the 1st October 2020. It is set out in full below. SOME POINTS OF INTEREST The specific exclusion of cases where the claimant has a limited life expectancy (which…
COUNSEL’S FEES ARE RECOVERABLE ON A CASE THAT LEAVES THE PORTAL: WHEN A TRAIL OF BREADCRUMBS LEADS NOWHERE
In the judgment today in Finsbury Food Group Plc v Dover [2020] EWHC 2176 (QB) Mrs Justice Lambert rejected the defendant’s arguments that counsel’s fees were not recoverable. “I do not accept that leaving the legal costs of valuing a…
CIVIL PROCEDURE (NOT-CORONAVIRUS): BLOG AND ARTICLES ROUND UP – JULY 2020
A round up of interesting posts and articles about civil procedure and costs from July 2020. Costs ACL – Gordon-Saker: Video and phone hearings will continue at SCCO after coronavirus Courts Litigation Futures – “Tsunami of post-Covid litigation” could overwhelm courts Remote…
WHEN THE FEE EARNER WITH CONDUCT OF A MATTER IS ALSO THE SOLE DIRECTOR OF THE CLIENT: UPPER TRIBUNAL AWARDS NO COSTS FOR THIS ASPECT OF THE CASE
There is a comment on costs in the judgment of Judge Timothy Herrington in Financial Solutions (Euro) Limited -v- The Financial Conduct Authority [2020] UKUT 0243 (TCC) that has some wider implications, albeit that it is was a relatively unusual…
WHAT IS THE IMPACT OF A WITHDRAWN PART 36 OFFER ON COSTS? IT DEPENDS: COURT CONSIDERS THE RELEVANT TEST
In the judgment today in Blackpool Borough Council v Volkerfitzpatrick Ltd [2020] EWHC 2128 (TCC) HHJ Stephen Davies, sitting as a judge of the High Court, considered the effect of a withdrawn Part 36 offer. There is an important consideration…
“SUCCESSFUL” CLAIMANT RECOVERS 60% OF HIS COSTS BUT PAYS THE COSTS OF TRIAL: ISSUED BASED COSTS ORDERS CONSIDERED
The vast majority of people who read the cases discussed in this blog will (I would wager a bet) often be thinking “Was there a Part 36 offer?” “What happened about costs?” We can get a glimpse into these issues…
HEARINGS AND DETAILED ASSESSMENTS IN THE SENIOR COURTS COSTS OFFICE PRACTICE NOTE BY THE SENIOR COSTS JUDGE
Senior Costs Judge Gordon-Saker has issued a Practice Note in relation to Practice in the Senior Courts Costs Office. “Introduction 1. As a result of the hard work and determination of the court staff and the willingness to adapt…
THE NEW PRECEDENT T: SEE IT HERE: A MODEL OF ITS KIND…
I am grateful to Sean Linley for sending me a copy of the new Precedent T that will apply to amended budgets after the 1st October 2020. You can see it here. Precedent T Example THE NEW RULES…
POINTS TAKEN ON APPLICATION WERE “ALL BAD”: PARTIES TO LITIGATION ARE NOT BOUND TO TAKE BAD OR HOPELESS POINTS
The judgment of Master Davison in Vale SA v BSG Resources Ltd & Anor [2020] EWHC 2021 (Comm) contains some interesting observations on the “state of litigation”. “The points taken on Mr Cramer’s behalf were not a mixture of…
CHANGES COMING INTO FORCE IN OCTOBER 2: NEW RULES AS TO COSTS BUDGETS
The 122nd update Practice Direction Amendments come into force on the 1st October 2020. Some of the changes relate to costs budgeting. We will look at these in more detail nearer the time they come into force. So that people…
IN-HOUSE COSTS RECOVER ON ASSESSMENT: THE INDEMNITY PRINCIPLE IS NOT BREACHED
The question on the indemnity principle and in-house lawyers was another costs issue considered by Mostyn J in Kuznetsov, R (On the Application Of) v London Borough of Camden [2019] EWHC 3910 (Admin). The judge rejected an argument that the successful…
GET YOUR COSTS SCHEDULES TO COURT: OR ELSE (YOU WON’T GET PAID): MAKE YOUR BED AND THEN LIE IN IT
The judgment of Mr Justice Mostyn in Kuznetsov, R (On the Application Of) v London Borough of Camden [2019] EWHC 3910 (Admin)has a number of elements that are of interest to costs lawyers, and litigators generally. I am going to…
COUNSEL’S FEES NOT RECOVERABLE UNDER FIXED COSTS REGIME WHERE CASE SETTLED DAY BEFORE HEARING
I am grateful to barrister Sarah Robson for sending me a copy of the decision of Master Haworth in Coleman -v- Townsend [SCC Senior Court Costs Office 13th July 2020). A copy of which is available here Final Judgment Coleman…
COSTS ISSUES IN A CASE WHERE THE CLAIMANTS HAVE TO PAY £30 MILLION: WHY IT IS UNWISE TO BANK ON WINNING
A reminder of the sheer size, and major dangers, of group litigation can be seen in the judgment today in Sharp & Ors v Blank & Ors [2020] EWHC 1870 (Ch). The judgment relates to the costs of the action…
WHEN SHOULD INTEREST ON COSTS RUN FROM? A DECISION THAT DOESN’T GO ALL AROUND THE GARDEN…
We looked at the decision of Senior Costs Judge Gordon-Saker in Marbrow v Sharpes Garden Services Ltd [2020] EWHC B26 (Costs) last week in relation to the question of whether the costs budgeting caps were inclusive or exclusive of VAT. There…
VALIDITY OF A DAMAGES BASED AGREEMENT BETWEEN SOLICITOR AND CLIENT UPHELD: HIGH COURT DECISION
I am grateful to Lexlaw ltd for bringing my attention to the judgment of HHJ Parfitt (sitting as a High Court Judge in Lexlaw Ltd v Zuberi [2020] EWHC 1855 (Ch) (10 July 2020). They have sent me their Note…
THE CAP ON RECOVERABLE COSTS OF COSTS BUDGETING IS EXCLUSIVE OF VAT: JUDGMENT TODAY
In Marbrow v Sharpes Garden Services Ltd [2020] EWHC B26 (Costs) Senior Costs Judge Gordon-Saker considered the issue of whether the cap on recoverable costs of the costs assessment process are inclusive, or exclusive of value added tax. (There are…
FIXED RECOVERABLE COSTS, PART 36 AND “EXCEPTIONAL CIRCUMSTANCES”: A CIRCUIT JUDGE DECISION
I am grateful to my colleague Erica Bedford for sending me a copy of the decision of HHJ Godsmark QC in Young -v- AXA Insurance UK Ltd, a copy of which is available here LN2018-15 Young v AXA Judgment as…
“OUR CASE WAS SO HOPELESS YOU SHOULD HAVE APPLIED TO STRIKE US OUT”: LOSING PARTY SHOULD PAY THE COSTS OF CLAIMANTS PURSUING SPECULATIVE CLAIM: YOU CAN’T HAVE YOUR CAKE AND EAT IT
The judgment of Mrs Justice Lambert today in Bailey & Anorv Glaxosmithkline UK Ltd [2020] EWHC 1766 (QB) reflected the normal rule that the losing party should pay the costs of an action. In this case the losing party was…
NO ISSUE BASED COSTS ORDER AND PART 36 BENEFITS APPLIED WHEN CLAIMANT BEAT HIS OWN PART 36 OFFER: HIGH COURT DECISION TODAY
In Scales v Motor Insurers’ Bureau [2020] EWHC 1749 (QB) Mr Justice Cavangh rejected the defendant’s submission that there should be an issue based costs order and awarded a claimant the usual Part 36 benefits when he beat his own…
JUDGMENT SET ASIDE BECAUSE OF LOCKDOWN (2): WHO PAID THE COSTS? SOME IMPORTANT LESSONS HERE
A post earlier today dealt with the case of Stanley v London Borough of Tower Hamlets [2020] EWHC 1622 (QB) where a regular judgment was set aside because proceedings had been served, essentially, on empty offices. What will be of…
FARMER -v- THE CHIEF CONSTABLE OF LANCASHIRE: COSTS DISALLOWED IN FULL: FULL JUDGMENT NOW AVAILABLE
I wrote yesterday about the two useful articles on the case of Farmer v The Chief Constable of Lancashire [2019] EWHC B18 (Costs). The full judgment is now available on BAILLI. “Anybody around this table being of the costs persuasion…
WHEN MISCONDUCT ON ASSESSMENT LEADS TO NO AWARD OF COSTS
It is illuminating to read two reports of the case of Farmer -v- the Chief Constable of Lancashire, where a party’s conduct on assessment led to no award of costs being made. Indeed the claimant was ordered to pay the…
THE SEVEN YEAR ITCH: CIVIL LITIGATION BRIEFS’ 7th (OR 29th?) BIRTHDAY: FACTS, FIGURES AND HOW IT ALL BEGAN
This week sees the seventh anniversary of Civil Litigation Brief as a blog. That, it appears, is relatively young as a blog, the housing law blog Nearly Legal recently celebrated its 14th anniversary and is well into its truculent teenage…
SURVEILLANCE EVIDENCE, ALLEGATIONS OF MALINGERING AND INDEMNITY COSTS (AGAINST THE DEFENDANT)
I had no sooner finished a webinar about surveillance evidence this afternoon when I received an email and a copy of a case from solicitor Steve Evans.* The judgment of HHJ Yelton (sitting in the High Court) in Kilbey -v-…
“THERE MAY BE WORSE EXAMPLES OF DISPROPORTIONATE AND ILL-JUDGED LITIGATION, BUT NOT SPRING READILY TO MIND”: SPEND £600,000 OF COSTS AND GET £5,000 EACH
When I trespass into the area of family law it is, almost invariably, about the issue of costs. A prime example of the dangers of litigation and costs, almost literally, wiping all the family assets out, can be seen in…
CORONAVIRUS LAW: COVID NOT A GOOD REASON TO CHANGE NORMAL RULE AS TO COSTS FOLLOWING DISCONTINUANCE
In Khan v Governor of HMP The Mount & Anor [2020] EWHC 1367 Mr Justice Spencer considered, and rejected, an argument that a different costs order should be made because of the impact of coronavirus. THE CASE The claimant…
INDEMNITY COSTS ORDERED WHERE DEFENDANT ASKED FOR JSM BUT MADE NO OFFER: “A WASTE OF TIME AND MONEY”
On the Kings Chambers website there is a report, and transcript, of the decision in EAXB v. University Hospitals of Leicester NHS Trust: 4-8th November 2019 and 6th January 2020. The report is of a case where the claimant was successful…
CIVIL PROCEDURE: BLOG AND ARTICLES ROUND UP – MAY 2020
As we adjust to the problems of the pandemic some of the more conventional issues of litigation have been dealt with extensively this month. Costs ACL Trio of High Court judges issue costs penalties to defendants that refused ADR ACL Claimant not…
ASSESSMENT OF COSTS: UNDER SPEND OF A PHASE – NOT A GOOD REASON TO DEPART FROM THE BUDGET
In Utting v City College Norwich [2020] EWHC B20 (Costs) Master Brown rejected an argument that an “underspend” amounted to a good reason to depart from a budget. I am grateful to Paul Kay from R Costings for drawing this…
THE (NOT SO) LONELY LITIGATOR’S CLUB 25: CLAIRE GREEN: THE COST LAWYER’S TALE (OR TWO TAILS IN FACT)
Our club is going to need a costs lawyer or two. So for our first costs lawyer member I went straight to the top. Claire Green is currently Chairman of the Association of Costs Lawyers ( ACL) as well as…
ALDRED -V- CHAM: PERMISSION TO APPEAL REFUSED BY THE SUPREME COURT
In November last year I reported on the case of Aldred -v- Cham [2019] EWCA Civ 1780, in relation to the recoverability of counsel’s fees in child approval cases. I am grateful to Matthew Hoe from Taylor Rose who informs me…
COVID REPEATS 25: COSTS WHEN A CLAIMANT RECEIVES NOMINAL DAMAGES: YOU’VE TURNED DOWN £1.5 MILLION, RECEIVED £2 & NOW HAVE TO FACE THE CONSEQUENCES
Failing to beat a Part 36 offer is always painful. Failing to beat an offer of £1.5 million and receiving £2 is, most probably, even more painful. Here we look at the second part of the case discussed yesterday. In Marathon…
UNSUCCESSFUL DEFENDANTS ORDERED TO PAY SUCCESSFUL DEFENDANT’S COSTS: THE RELEVANT FACTORS CONSIDERED
One of the most difficult decisions in litigation, particularly personal injury litigation, can be deciding which defendant to sue. This can be a problem with occupier’s liability or construction site cases where potential defendants are blaming each other. A defendant…
CORONAVIRUS CATCH UP 2: COSTS AND BUDGETING
Here there are short snippets of cases relating to costs decision in the past month or so which may have been displaced by the commentary on COVID-19. Rippon Patel And French LLP v Mowlam [2020] EWHC 1079 (QB) An…
LITIGATION, CASHFLOW AND COVID 2: INTERIM PAYMENTS ON ACCOUNT OF COSTS
It is often said that cashflow is the lifeblood of business and this is never more so than in the current situation. Here we are looking at orders for interim payments when a case, or an issue in a case,…
LITIGATION, CASHFLOW & COVID 1: DETAILED ASSESSMENTS CAN STILL GO ON (& HERE’S HOW…)
In the first in a series of litigation and cashflow during the COVID crisis I am recommending that you read a post by my colleague Kevin Latham – How to Make Remote Detailed Assessments Work. LATHAM’S LAWS Kevin sets out…
GUIDANCE FOR THE CONDUCT OF REMOTE COSTS HEARINGS: READ ALL ABOUT IT
The Association of Cost Lawyers has a link on its site to agreed guidance for the Guidance of Remote Hearings. This is designed to ensure that assessments can continue remotely during social isolation. Litigation Futures has a useful summary of…
KEEPING YOUR LAW FIRM GOING DURING THE CORONAVIRUS CRISIS (4): SITES THAT HELP
In the fourth in this series we look at general guides and resources from around the world available to help law firms survive the profound difficulties posed by coronavirus. LexisNexis offers a free Coronavirus Resource Kit to help prepare your…
KEEPING YOUR LAW FIRM GOING DURING THE CORONAVIRUS CRISIS (3): CASH FLOW
In the third in this series we look at the help and guidance in relation to cashflow. This is a important topic for every law firm and chambers. It is also a subject on which some lawyers may have to…
CIVIL PROCEDURE AND COSTS: BLOG AND ARTICLES ROUND UP – MARCH 2020 (CORONAVIRUS FREE EDITION)
Links and articles to blog posts and articles available online in February 2020 (a separate post will deal with the many posts and articles last month on civil procedure and coronavirus). Costs Costs Barrister Hot air Costs Barrister Digital in design Association…
CLAIMANT BEATS OWN PART 36 OFFER: DEFENDANT ORDERED TO PAY INDEMNITY COSTS FOR AN EXTENDED PERIOD BECAUSE OF ITS CONDUCT
I am grateful to Sam Hayman from Bolt Burdon Kemp for drawing my attention to the decision today of Mr Justice Griffiths in DSN v Blackpool Football Club Ltd [2020] EWHC 670 (QB). The defendant was ordered to pay indemnity…
CHALLENGING COST BUDGET PHASES ON ASSESSMENT: DECISION TODAY: PARTY CHALLENGING BUDGETED PHASE HAS AN UPHILL TASK
My colleague Paul Hughes has provided a link to a judgment today of District Judge Lumb in the case of Chapman -v- Norfolk & Norwich University Hospitals NHS Foundation Trust, available here. The judgment considers the issue of when a…
IF THE CAP DON’T FIT A JUDGE DOESN’T HAVE TO ACQUIT: THE ARKIN CAP IN THE COURT OF APPEAL
In the judgment today in Chapelgate Credit Opportunity Master Fund Ltd v Money & Ors [2020] EWCA Civ 24 the Court of Appeal upheld a decision not to apply the “Arkin cap” to a party that had been funding litigation. …
STRIKING OUT POINTS OF DISPUTE BECAUSE OF LACK OF PARTICULARISATION: PARTIES HAVE TO KNOW WHAT IS IN DISPUTE AND WHY
In Ainsworth v Stewarts Law LLP [2020] EWCA Civ 178 the Court of Appeal upheld a decision striking out part of points of dispute. “Common sense dictates that the points of dispute must be drafted in a way which enables…
NO PROTECTIVE COSTS ORDER FOR APPELLANT IN ACCOMMODATION APPEAL: COURT OF APPEAL DECISION TODAY
In the judgment in Swift v Carpenter [2020] EWCA Civ 165 today the Court of Appeal rejected the claimant’s application for a Protected Costs Order. There are important observations on (i) the scope of Protected Costs Orders; (ii) the exercise…
THE SET OFF OF COSTS AND QOCS: A HIGH COURT DECISION: THE COURT HAS A DISCRETION TO SET OFF COSTS – BUT ON THE FACTS OF THIS CASE WOULD NOT DO SO
In the judgment given this morning in Faulkner -v- Secretary of State for Energy and Industrial Strategy [2020] EWHC 296 (QB) Mr Justice Turner considered the issue of whether a defendant, ordered to pay costs when failing in an application…
CLAIMANT’S MEDICAL EXPERT ORDERED TO PAY DEFENDANT’S COSTS: EXPERTS PLEASE NOTE (EXPERTS’ INSURERS NOTE CAREFULLY)
In Thimmaya -v- Lancashire NHS Foundation Trust (30th January 2020, Manchester County Court) HHJ Claire Evans ordered that a medical expert pay a significant part of the defendant’s costs when she found that the expert had failed in his duties…
FIXED COSTS OUSTED BY AGREEMENT: INSURER HAS TO STAND BY THE DEAL IT STRUCK
I am grateful to barrister Andrew Roy for sending me a copy of the decision of District Judge Baldwin (sitting as a Regional Costs Judge) in Turner -v- Cole (16th December 2019). It is a case where the judge held…
INDEMNITY COSTS ON THE GROUNDS OF CONDUCT: FAILURE TO BEAT A DEFENDANT’S PART 36 OFFER: A GARDEN THAT GETS MORE AND MORE EXPENSIVE…
The Court of Appeal decision in Lejonvarn v Burgess & Anor [2020] EWCA Civ 114 is the second time this case, about a garden, has been on appeal. On this occasion the Court of Appeal held that the claimants’ conduct…
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