COST BITES 322: WHAT IS THE POSITION OF AN INSURER IN RELATION TO VAT WHEN THE INSURED IS INSOLVENT: DOES A PAYING PARTY NOW HAVE TO PAY VAT?
This is an interesting “cost bite” issue. What is the position on VAT when an insurer is being sued under the Third Parties (Rights Against Insurers) Act 2010 but the insured has gone into voluntary liquidation? Is a paying party…
COST BITES 321: THE GUIDELINE HOURLY RATES ARE NOT “SOMEWHAT OUT OF DATE”
The previous post on the updating of the Guideline Hourly rates leads us to this next case. It poses the question – are the rates “somewhat out of date”. As we shall see the judge gives a clear answer. (There…
NEW YEAR: NEW GUIDELINE HOURLY RATES: SEE THE DETAILS HERE: EFFECTIVE FROM YESTERDAY
The new Guideline hourly rates were published yesterday. They take effect from 1st January 2026 (for anyone working on that day…). They have been updated using service producer price inflation (SPPI). THE INCREASES The increases are 2.28%, using the…
NEW SERIES FOR 2026: CIVIL PROCEDURE “BACK TO BASICS MONDAY”: STARTING ON …. MONDAY…
We look at many cases on this blog where litigants (often more accurately – litigators) experience major procedural difficulties. It is surprising how often these difficulties arise from a very basic failure. That is a failure to follow a rule,…
WHEN A DAY LONG APPLICATION FOR PERMISSION TO AMEND INCURS COSTS OF OVER £1.3 MILLION (AND STILL THE BUNDLES AREN’T QUITE RIGHT…)
There are some interesting observations here about the strategy a party should adopt when facing an application to amend. Such an application is not a “mini trial”. It is clear from this case that substantial costs can be incurred in…
REVIEW OF THE YEAR 13: WHAT ARE PEOPLE READING?
It is always interesting to look back and see what are the most popular posts each year. Sometimes this contains surprises, sometimes it says something about the state (or at least the interests) of the legal profession. Here are…
REVIEW OF THE YEAR 11: OPENING LINES OF JUDGMENTS 2025: “FOR MILLIONS OF YEARS MEN LIVED JUST LIKE ANIMALS”: ST PAUL’S CATHEDRAL, SHERLOCK HOLMES AND FINDING INGENIOUS WAYS NOT TO PAY TAX: ALL LITIGATION LIFE IS HERE…
Consideration of the opening lines of judgments has been a feature of this blog for some years now. It has sometimes been a way of providing a little light relief towards the end of what is often a 12 month…
COST BITES 320: CLAIMANT WAS ENTITLED TO SEEK A FURTHER INTERIM PAYMENT AS TO COSTS: “I THINK IT CONSIDERABLY UNFORTUNATE THAT THIS POINT HAS BEEN TAKEN”
Later this month we are taking our traditional end of year look at “opening lines of judgments”. Sometimes opening lines provide a clue as to the judge’s thinking. When the first sentence contains the words “I think it is considerably…
REVIEW OF THE YEAR 5 : 111 POSTS IN THE “COSTS BITES” SERIES (AND COUNTING): DON’T LOOK AWAY NOW…
There is no doubt at all that the Costs Bites series is one of the most widely read on this blog. The series started in July 2022 and the aim is to look at what is happening in relation to…
USING WHATSAPP AND OTHER MEANS OF COMMUNICATION WITH CLIENTS: THE RISKS CONSIDERED
The previous post looked in detail at the issues in a solicitor and own client assessment caused by the solicitor’s use of WhatsApp. That judgment gives rise to much wider issues in relation to how solicitors communicate with clients. In…
COST BITES 319: WHATSAPP MESSAGES CAN FORM PART OF A SOLICITOR’S FILE: THE DEFENDANT FIRM WAS, THEREFORE, IN BREACH OF A PEREMPTORY ORDER
This case raises highly significant issues for all firms of solicitors. It relates specifically to whether messages sent by WhatsApp form from private phones form part of a solicitor’s file. However the case extends to any type of electronic communication,…
COST BITES 318: PART 36 ISSUES: DOES AN AGREEMENT ON DAMAGES AFTER TRIAL MEAN THAT THE NORMAL PART 36 CONSEQUENCES DO NOT APPLY?
Do the normal Part 36 consequences apply when the parties agree damages and lodge a consent order after a trial on liability? That is the issue considered by the High Court here. (Part 36 consequences apply – the writing is…
COST BITES 317: ANOTHER ROUND IN THE MEDICAL AGENCY FEES/BREAKDOWN BATTLE: THE AGENCY MUST PROVIDE A BREAKDOWN
Here we have another case in the long-running battle over the disclosure of agency fees. I am grateful to Claire Kewin from Keoghs solicitors for sending me a copy of the judgment and for her summary of its practical implications…
COST BITES 316: THE CLAIMANT HAS JUDGMENT FOR £175,380 BUT WHO (IF ANYONE) SHOULD PAY THE COSTS? A SURPRISING RESULT (JUST THINK “OUCH”..)
It is not uncommon to see discussions in relation to who should pay the costs after a judgment is given. This is a judgment with a twist, in that the court considered, at the end of protracted litigation, whether anyone…
COST BITES 315: A LACK OF AUTHORITATIVE CASE LAW DOES NOT JUSTIFY A DEPARTURE FROM THE GENERAL RULE THAT THE LOSING PARTY PAYS THE COSTS
Should the fact that there is no authoritative case law on a topic lead to a “different” order as to costs. This was one of the issues considered by the judge in this case. Similarly the court considered the relevance…
COST BITES 314: PERSONAL INJURY CLAIM SHOULD HAVE BEEN BROUGHT IN THE RTA PROTOCOL: CLAIMANT LIMITED TO FIXED COSTS
This is the second case today that was sent in by a helpful reader. I am grateful to Ben Millns from Kennedys who has sent me a copy of this judgment. It relates to the question of whether a personal…
MAZUR MATTERS 43: AN EXAMPLE WHERE SUPERVISION WAS FOUND TO BE INADEQUATE: ACTION BY THE SRA & A FINE OF £30,000
It would be interesting to know what (if any) percentage of the profession read the SRA document “Effective supervision – Guidance” published in November 2022. The Mazur issue was there in plain sight. There is only one practical example given in…
MAZUR MATTERS 42: CAN ANY GOOD COME OF ALL THIS? POSITIVE THINKING ABOUT DELEGATION AND THE CONDUCT OF LITIGATION: SOME USEFUL LINKS
The current situation is that large parts of the profession are waiting, with bated breath, for a Court of Appeal judgment as to whether the Mazur decision was right, in particular in relation to non-authorised employees having the “conduct” of litigation. …
INDEMNITY COSTS ORDERED IN CASE WHERE CLAIMANTS OBTAINED INFORMATION FROM DEFENDANTS’ SOLICITOR IN A “STING” OPERATION: “THE CLAIMANTS SOUGHT TO JUSTIFY THE UNJUSTIFIABLE”
This is a case worth reading if you want to see strong judicial commentary on litigation conduct. The judge was clear in his view of the conduct that the claimants had engaged in and surprised by its lack of self…
COST BITES 313: A SUCCESSFUL CLAIMANT IS NOT GOING TO BE DEPRIVED OF THEIR COSTS BECAUSE THEY FAILED TO BEAT THEIR OWN OFFERS…
This is a case with some interesting arguments as to costs. The court considered allegations of a failure to engage in ADR; the fact that the claimants had not beaten their own offers and issues in relation to conduct, proportionality…
COST BITES 312: A CHANCE TO SEE COSTS BUDGETING IN ACTION: A CASE WHERE FUNDAMENTAL DISHONESTY IS ALLEGED AND THE CLAIMANT IS A PROTECTED PARTY
It is always interesting to read detailed decisions about costs budgeting. They are few and far between. We have a full judgment here where the Master deals with issues such as hourly rates, the impact of allegations of dishonesty and…
INTEREST ON PART 36 OFFERS: HOW SHOULD IT BE CALCULATED? GIVING THE CLAIMANT INTEREST ON COSTS BEFORE THEY WERE ACTUALLY INCURRED IS NOT AN ABSURDITY
This is an interesting Part 36 issue in a case where the claimant had beaten its own Part 36 offer. The court made an order for additional interest from the date of expiry of the offer. Does the defendant have…
COST BITES 310: COSTS, CONDUCT AND ADR: THE DEFENDANTS HAD NOT BEEN UNREASONABLE IN THEIR APPROACH TO MEDIATION: IT WOULD HAVE BEEN WHOLLY REASONABLE FOR THEM TO REFUSE TO MEDIATE IN ANY EVENT
The impact that a litigant has to mediation, and in particular a failure to properly respond to or participate in ADR, can have an impact on costs. However this is not automatic. Further there are cases (such as this) where…
CONTRIBUTORY NEGLIGENCE IN ROAD TRAFFIC CASES: DO ALL ROADS LEAD TO FROOM? WEBINAR 19th NOVEMBER 2025
Issues relating to contributory negligence often play a large part in road traffic cases. This webinar looks at the case law and guidance in relation to the key issues that often arise. Booking details are available here. (A failure to wear…
MAZUR MATTERS 39: CILEX APPLIES TO APPEAL MAZUR DECISION
An announcement on the CILEX website today states that it is applying for permission to appeal the decision in Mazur. The argument will be that, the Law Society, The SRA and the High Court construed the Solicitors Act incorrectly. Watch…
COST BITES 309: ISSUES OF SECURITY FOR COSTS CONSIDERED IN A SOLICITOR AND OWN CLIENT ASSESSMENT : WITH IMPORTANT POINTERS HERE FOR ALL SECURITY FOR COSTS APPLICATIONS: “I AM NOT PREPARED TO DECIDE THIS APPLICATION ON THE BASIS OF INFERENCE AND CONJECTURE”)
We are looking at an application relating to security for costs in the context of a solicitor and own client assessment. However, as the heading indicates, there are more general lesson here for all litigators. In particular the need to…
THE SOLICITOR AND THE STING OPERATION (2): WHY THE JUDGE DID NOT ACCEPT THAT THE CLAIMANTS WERE UNAWARE OF THE STRATEGY BEING USED
We are returning again to the case where the claimants arranged the taping of meetings with the defendants’ solicitors. The judge was sceptical of the claimants’ assertions that they were not fully aware of the methods being used. (This case…
CONTRIBUTORY NEGLIGENCE: THE LAW, PRACTICE AND SPECIAL CASES: WEBINAR 17th NOVEMBER 2025
You may be reading this for the second time – but it may be partly your own fault.… This webinar looks at the law relating to contributory negligence, the legislation and the key cases. Booking details are available here. …
COST BITES 308: SHOULD BUDGETING TAKE PLACE IN A £340 MILLION CASE? TAXIS DRIVERS WANT TO KNOW THE FARE IN ADVANCE
The usual “cut off” point for costs budgeting is £10 million. Here we are looking at a case where the court considering budgeting in a case with a value of £340 million. The judgment contains interesting, and important, observations on…
DEFAULT AND SANCTIONS CASES IN THE COURTS IN 2025: WEBINAR 12th NOVEMBER 2025
This year has see more than its fair share of cases relating to default, sanctions and wasted costs. Knowing what those cases are, the problems that arose, how they were caused and the results are essential skills for litigators. More…
MAZUR MATTERS 36: UPDATED GUIDANCE FROM AN INSURER: THE NEW DUTIES ON THOSE WHO “SUPERVISE” – THEY NOW HAVE TO “CONDUCT”
Some of the most useful guidance on compliance and Mazur has come from insurers (perhaps unsurprisingly). It is significant that one of the major insurers has already updated and revised its guidance. This guidance is essential reading for anyone involved…
TALES FROM THE COST LAW CONFERENCE SOME BRIEF POINTS (3): COSTS JUDGE SIMON BROWN ON THE NUTS AND BOLTS OF COSTS BUDGETING
Costs Judge Brown makes the point here that costs budgeting is here to stay. There are a few basic issues, the “nuts and bolts” of budgeting which help ensure that the whole process runs smoothly. (You can never underestimate the…
MAZUR MATTERS 35: DOES AN UNAUTHORISED PERSON SIGNING AN APPLICATION MEAN IT CAN BE STRUCK OUT “WITHOUT MORE”?
Here we are looking at case report which contains a reference to Mazur and appears to suggest that signature of an application by an unauthorised person means that the application is “liable to be struck out”. As it turns out…
COST BITES 306: ALLEGATIONS OF FRAUD TOOK CIRCUMSTANCES OUT OF THE NORM: INSURER ORDERED TO PAY INDEMNITY COSTS TO THE CLAIMANT
Here we look at a case where the judge found that the defendant’s conduct in alleging fraud was such that costs should be ordered on the indemnity basis. Among other things this judgment reminds us of the dangers of alleging…
TALES FROM THE COSTS LAW CONFERENCE SOME BRIEF POINTS 2: (MIS) CONDUCT IN THE ASSESSMENT PROCESS
Staying with the conference today. Costs Judge Leonard gave an interesting talk on “conduct” in the assessment process which he, said was more accurately about “misconduct in the assessment process. (This was one of Judge Leonard’s slides. It highlights the…
TALES FROM THE COSTS LAW CONFERENCE SOME BRIEF POINTS 1 : MAZUR ISSUES: WAS IT CORRECTLY DECIDED? WHY IT IS IMPORTANT THAT COST LAWYERS ARE REGULATED
Today I am writing directly from the Association of Costs Lawyers conference in London. Unsurprisingly the first two speakers considered Mazur. This is a highly abbreviated version of their talks. ANDREW ROY KC Andrew, kindly referring to this blog as…
COST BITES 305: THE JUDGE WAS WRONG TO AWARD COSTS AGAINST A PARTY WHEN TWO ACTIONS WERE “JOINED” AND NOT “CONSOLIDATED”: AN IMPORTANT DISTINCTION IN THE RULES
We are looking at a case where the appellant was successful in overturning an award for costs made against him in relation to one set of proceedings. The judgment highlights the important distinction between “joinder” and “consolidation”. That distinction can…
COST BITES 304: “NEGLIGENCE” HAS A PARTICULAR MEANING IN A WASTED COSTS APPLICATION: THERE MUST BE “SOMETHING AKIN TO AN ABUSE OF PROCESS”.
The judgment here considers what is meant by “negligent” when wasted costs are sought against a legal representative. The review of the authorities makes it clear that it has a specific meaning. (There is a Lord Denning judgment where he…
COST BITES 304: IN A DISPUTED WILL CASE WHO SHOULD PAY THE COSTS? WHAT SHOULD THE BASIS OF THE ORDER BE? SHOULD THERE BE AN INTERIM ORDER FOR COSTS?
There are particular rules that relate to costs in probate proceedings. Here we look at a decision on costs that is of more general interest. The judge considered the issue of whether the unsuccessful defendant should pay the costs, the…
MAZUR MATTERS 29: MORE USEFUL LINKS: THE FOIL RESPONSE
Here we are looking at another useful link. FOIL (the Federation of Insurance Lawyers) has produced a document dealing with the potential consequences of Mazur for its members. (FOIL has always been such a clever name. This link shows that…
SOLICITORS HAD GOOD GROUNDS TO TERMINATE THEIR RETAINER BUT COULD NOT RECOVER THEIR FEES: A LOT TO THINK ABOUT HERE.
Here we are looking at a case where an action for negligence against a firm of solicitors failed. The trial judge found that the solicitors had good grounds to terminate their retainer. However the solicitors’ counterclaim for fees failed. There…
COST BITES 303: THE SOLICITOR CANNOT PASS ON RESPONSIBILITY FOR A DEFECTIVE BILL TO THE COSTS LAWYER: A 75% REDUCTION BECAUSE OF THE WAY IN WHICH THE BILL WAS DRAFTED
Here we are looking at a case involving a bill of costs that was wholly defective that the costs judge was invited to strike it out. The judge came very close, but reduced the bill by 75% instead. There…
MAZUR MATTERS 27: TWO MORE USEFUL LINKS: A USEFUL GUIDE FROM INSURERS: PLUS THE FIRST “REAL WORLD” CASE WHERE MAZUR HAS LED TO A SUBSTANTIAL REDUCTION IN COSTS
The commentary on Mazur continues. Here I want to look at two useful links. The first relates to guidance given by an insurer. The second relates to the first report (I have seen) on Mazur having an impact on costs….
COST BITES 302: WAS THE JUDGE WRONG TO IMPOSE A WASTED COSTS ORDER? ISSUES OF CAUSATION AND “NEGLIGENCE” CONSIDERED IN THE COURT OF APPEAL
We are looking at a case where the Court of Appeal considered a wasted costs order in critical terms. Although we are considering a decision in the criminal courts the principles relating to wasted costs are of general application. Firstly…
MEMBER NEWS: UPDATE ON THE CIVIL LITIGATION BRIEF WEBINAR SERIES: THIS SITE WILL BE OFFLINE FOR AN HOUR ON THE 29th OCTOBER
There are two pieces of news. Firstly the site is having a short “rest” on the 29th October, this is only for an hour – but it will be back newly invigorated. Secondly a reminder of some of the webinars…
COST BITES 301: THE AARHUS COST CAP FIGURES ARE NOT SETT IN STONE: BUT IT VERY DIFFICULT TO PERSUADE A COURT TO CHANGE THEM
This may be the first time we have looked at the issue of costs and badgers. We are looking at a case where the defendant sought to change the amounts of the “Aarhus cap” on the recoverability of costs in…
SEEKING PERMISSION TO APPEAL AND TO EXTEND TIME: THE OPPORTUNITY TO SEEK PERMISSION CAN EASILY BE MISSED: SOMETHING FOR WOULD BE APPELLANTS TO WATCH OUT FOR
The circumstances in which a judge at first instance can grant permission to appeal from their own decision are circumscribed by the rules. Permission can only be given at the hearing itself, or any adjournment thereof. The same applies to…
SHOULD A CLAIMANT BE GIVEN PERMISSION TO WITHDRAW THEIR OWN PART 36 OFFER? (2): THE PRINCIPLES CONSIDERED
We continue with the consideration of the recent case in which a claimant applied for permission to withdraw a Part 36 offer. The judge also considered the relevant rules and case law in detail. (You need the court’s permission to…
MAZUR MATTERS 25: WHAT DIFFERENCE WILL MAZUR MAKE TO THE ASSESSMENT OF COSTS?(2) : HOW ABOUT – “A LITTLE AND POSSIBLY QUITE A LOT”?
The commentary on the implications of the Mazur case continues apace. In particular there has been much discussion about whether it affects liability to pay costs. LinkedIn contains reports that “Mazur” issues are already being raised in Points of Dispute. …
COST BITES 300: THE SERIES TO DATE: IT STARTED WITH A “BOUTIQUE FIRM”, YESTERDAY IT WAS ABOUT CONDUCT, AND IS UNLIKELY TO END SOON…
This series started in July 2022. I wanted to make sure that we got to look at the “smaller” issues in relation to costs as well as major decisions. Those “incidental” issues, summary assessments, judicial commentary and the like can…
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