PREVIOUS COSTS ORDERS STAND EVEN AFTER DISCONTINUANCE: A HIGH COURT DECISION
In Dar Al Arkan Real Estate Company -v- Al Refai [2015] EWHC 1793 (Comm) Mr Justice Andrew Smith considered whether discontinuance of an action should have an effect on previous costs orders. THE CASE The claimants had agreed terms of…
INCREASED COSTS AND "MYSTIFYING" PLEADINGS: A WARNING TO THOSE DRAFTING DEFENCES: IT'S GOING TO COST YOU
The judgment of Mr Justice Edis in Davies -v- Forrett [2015] EWHC 1761 QB is an object lesson on the dangers of lax pleading. Denying the relevance of a conviction in a pleading led to the joinder of a number…
RELIEF FROM SANCTIONS AND COSTS IN THE ADMINISTRATIVE COURT: NO DOUBLE STANDARDS FOR THE GOVERNMENT
In The Queen (on the application of Bhatt) -v- The Secretary of State for the Home Department [2015] EWHC 1724 (Admin) Helen Mountfield QC (sitting as a Deputy Judge) made some interesting observations in relation to the Denton principles, conduct…
TRUSTEE IN BANKRUPTCY NOT LIABLE FOR COSTS INCURRED BEFORE ADOPTION OF PROCEEDINGS: SUPREME COURT DECISION TODAY
In a short judgment today in BPE Solicitors -v- Gabriel [2015] UKSC 39 the Supreme Court considered the question of whether a Trustee in Bankruptcy who adopts proceedings thereby becomes liable for the previous costs incurred in that action. THE…
COSTS, INDEMNITY COSTS AND CONDUCT WHEN CONSIDERING COSTS FOLLOWING AN ORDER FOR CROSS-EXAMINATION AT AN INTERLOCUTORY STAGE
In JSC Mezhdumarodiniy Promyshlenniy Bank -v- Pugachev [2015] EWHC 1694 (Ch) Mr Justice Hildyard considered the issue of whether a respondent to an order for cross-examination should be ordered to pay the costs of that application and whether those costs…
SUCCESS FEES : DEFECTIVE NOTICE OF FUNDING AND RELIEF FROM SANCTIONS: A WHOLE BUNDLE OF ISSUES
The decision of Mr Justice Edis in O’Brien -v- Shorrock & the MIB [2015] EWHC 1630 (QB) deals with a number of important issues in relation to costs, notice of funding, the backdating of conditional fee agreements and relief from sanctions. THE…
RECOVERY OF THE INSURANCE PREMIUM IN CLINICAL NEGLIGENCE CASES: 10 KEY POINTS
The recent post on the decision in Nokes -v- Heart of England Foundation Trust [2015] EWHC B6 highlighted the issues relating to recoverability of the premium in clinical negligence cases. Here is a 10 point summary: 1. ONLY THAT PART…
PERCENTAGE COSTS ORDERS AFTER A TRIAL: ISSUE BY ISSUE DEDUCTIONS
The judgment of Mr Justice Arnold in Novartis AG -v- Focus Pharmaceuticals Limited [2015] EWHC 1553 (Pat) is another example of an approach to percentage costs orders and interim orders for costs after a trial. The judge ordered that the…
INVESTMENT BANK SPECIAL ADMINISTRATORS CANNOT USE CFAS: HIGH COURT DECISION
Today appears to be a day for exceptions. An earlier post dealt with the remaining provisions whereby litigants can recover insurance premiums this post deals with the limited circumstances in which administrators can litigate and recover additional liabilities. The question…
AFTER THE EVENT PREMIUM BOTH RECOVERABLE, REASONABLE AND PROPORTIONATE
When is an after the event premium and when is it recoverable? The decision of Master Leonard (sitting as a Judge of the Mayor’s and City County Court) in Nokes -v- Heart of England Foundation Trusts [2015] EWHC B6 (Costs)…
A SORRY TALE OF MODERN LITIGATION: ALL AROUND THE HOUSES
There are some cases where the “reasonable bystander” may feel that all rationality has been lost by the litigants. Read the opening paragraph of Mr Justice Akenhead’s judgment in Mears Ltd -v- Shoreline Housing Partnership Limited [2015] EWHC 1396 (TCC)….
INDEMNITY COSTS AND REDUCED INTEREST ON DAMAGES BECAUSE OF DELAY: COURTS WILL STAY ON THE RAILS
There is a short interesting judgment by Mr Justice Akenhead in Network Rail Infrastructure Ltd -v- Handy [2015] EWHC 1460 (TCC) which deals with the principles relating to indemnity costs and interest. A further interesting point is that the claimant…
COURT OF APPEAL UPHOLDS AWARD OF INDEMNITY COSTS: RAYMOND -v- YOUNG
In Raymond -v- Young [2015] EWCA Civ 456 the Court of Appeal upheld an award of indemnity costs, awarded as a result of the conduct of the defendants. THE CASE The appeal concerned the award of £155,000 for diminution in…
WASTED COSTS HEARING: NOT JUSTIFIED BECAUSE OF LIKELY COSTS INVOLVED: CAVEAT LITIGATOR
In Kagalovsky -v- Balmore Invest Limited [2015] EWEHC 1337 (QB) Mr Justice Turner turned down a wasted costs application at the first stage. “A cigarette packet carries the warning that smoking can kill you. Solicitors’ standard terms of business should…
VERY IMPORTANT DECISION ON PART 36 OFFERS, ASSESSMENT OF COSTS AND ADDITIONAL AMOUNTS WHEN OFFERS NOT BEATEN
The decision of Mrs Justice Slade DBE in Cashman -v- Mid Essex Hospital Services NHS Trust [2015] EWHC 1312 (QB) deals with the additional sums that a party may have to pay when it fails to beat a Part 36 offer….
TRIAL HAD NOT "COMMENCED" : ADDITIONAL LIABILITY NOT 100%: HIGH COURT DECISION ON COSTS
In James -v- Ireland [2015] EWHC 1259 (QB) Mrs Justice Slade DBE overturned an earlier decision that a trial had commenced and the claimant was entitled to 100% uplift in costs. (The uplift in costs resulted in a sum of…
TRIAL BUNDLES, SEDLEY'S LAWS AND DOCUMENTARY CARPET BOMBING
“Sedley’s Laws” of trial bundles were mentioned by Mr Justice Turner in Griffiths -v- The Secretary of State for Health [2015]. Another example of over-sized trial bundles. “CPR 1.3 imposes a duty upon the parties to help the court to…
ADVISING CLIENTS PROPERLY AND THE ECONOMICS OF PRACTICE: WHEN DRAWINGS ARE AT £9.9 MILLION
The earlier post on Procter -v- Raley’s solicitors contained a submission on behalf of the defendant that it was necessary “in modern conditions” for solicitors to “commoditise” their advice to clients. The Court of Appeal were doubtful on that point because there…
PAYMENTS ON ACCOUNT OF COSTS DO NOT BREACH BREACH INDEMNITY PRINCIPLE AND SHOULD BE A "REASONABLE SUM"
In XYZ -v- Transform Medical Group (CS) Limited [2015] EWHC 1151 (QB) Mrs Justice Thirlwall DBE considered several issues in relation to payments on account of costs. THE CASE The action is a group action in which nearly 1000 women…
JUDGE SHOULD NOT HAVE MADE COSTS ORDER WHICH WIPED OUT CLAIMANT'S DAMAGES: COURT OF APPEAL DECISION TODAY
In Begum -v- Birmingham City Council [2015] EWCA Civ 386 the Court of Appeal allowed an appeal by a claimant where the decision on costs at first instance effectively deprived her of damages. THE CASE The issue is succinctly summarised…
THE "URGENT NEED FOR COMMERCIAL PRACTITIONERS TO BRING A SENSE OF PROPORTION" TO LITIGATION: EVIDENCE NEEDED IN WHEN ARGUING SECURITY FOR COSTS "STIFLES" AN ACTION.
In Kazakhstan Kagazy Plc -v- Baglan Zhunus [2015] EWHC 996 Mr Justice Walker had strong words to say, and constructive guidance to give, in relation to some aspects of commercial litigation. The case further serves as a reminder of the…
WITNESS STATEMENTS, EXHIBITS AND NOT MAKING AN EXHIBITION OF YOURSELF: THE OFTEN IGNORED RULES ABOUT EXHIBITS TO WITNESS STATEMENTS
Your life will not be complete unless you have read a post about exhibits to witness statements. The “exhibiting” of documents is common. It is surprising how common it is for the exhibit, and the witness statement, to fail to…
COSTS OF EXPERTS AND GOING OUTSIDE THE COSTS BUDGET: THE HIGH COURT REFUSES TO EXTEND BUDGETED ITEMS AFTER A TRIAL
In Parish -v- The Danwood Group Ltd [2015] EWHC 940(QB) HH Judge Behrens (sitting as a judge of the High Court) considered various issues relating to the costs budget at the end of a trial. THE CASE The claimants were…
CHANGES TO THE PRE-ACTION PROTOCOLS THAT WE KNOW ABOUT: LOW VALUE ROAD TRAFFIC ACCIDENTS
Important changes have been made to the Pre-Action Protocols which came into force yesterday. At the moment the whereabout of the the Protocols is a mystery in that they have not been published generally. However there are some changes to…
PERCENTAGE COSTS ORDERS AFTER A CLAIMANT BEATS THEIR OWN PART 36 OFFER: A HIGH COURT DECISION
In Webb -v- Liverpool Womens’ NHS Foundation Trust [2015] EWHC 449(QB) HH Judge Saffman (sitting as a High Court Judge) considered the consequences where a claimant had beaten their own Part 36 offer at trial. NB this aspect of the…
THE LAST WORKING DAYS OF THE "OLD" PART 36: LINKS TO POSTS & ARTICLES ON THE NEW RULES
The new Part 36 comes into force on the 6th April. Here are links to posts and guidance in relation to the new rules on this blog and then links to many other commentators. POSTS ON THE NEW PART 36…
SOMETHING FOR THE WEEKEND: THE SOLICITOR WHO TOOK ON SALFORD OVER COURT FEES AND WON
I may make a habit of blogging cheerful(ish) stuff on a Friday*. This weeks its hats of to Dominic Cooper of IE Legal Solicitors who was sent me details of his run in, and success, with Salford. THE DISPUTE Like…
COSTS NOT RECOVERED WHEN DEFENDANT NOT NAMED IN CFA: SENIOR COSTS OFFICE DECISION
The GWS website has a link to a decision of a decision of Deputy Master Friston made in the Senior Court Costs Office in Hailey -v- Assurance Mutuelle Des Motards (CCD 1405291). It relates to the question whether costs can…
PROPORTIONALITY, BUNDLES AND £3 MILLION SPENT ON COSTS: FAMILY COURT ON PROFLIGATE EXPENDITURE
We have looked at the family courts from time to time in relation to procedure, costs and proportionality. Another example is provided by the judgment of Mr Justice Holman in the case of Gray -v- Work [2015] EWHC 834 (Fam)….
A VERY NUANCED APPROACH TO COSTS AFTER "SUCCESS" AT TRIAL: REDSTONE -v- B LEGAL CONSIDERED
In Redstone -v- B Legal [2015] EWHC 745 (Ch) Mr Justice Norris made an order for costs in an action where four test cases had been heard. There had been a trial of a preliminary issue in relation to liability….
INTEREST ON COSTS; PAYMENTS ON ACCOUNT OF COSTS & INDEMNITY COSTS AGAINST FUNDERS: EXCALIBUR IN THE REPORTS AGAIN
We have looked at the Excalibur case before in the context of an order for indemnity costs against funders. Further decisions in relation to costs were made by Christopher Clarke L.J. in Excalibur Ventures LLC -v- Texas Keystone INC [2015]…
MITIGATING THE IMPACT OF THE COURT FEE INCREASE 3: ONLY CLAIM WHAT ITS WORTH AND WHAT YOU ARE GOING TO GET
This is the third in the series on mitigating the effect of court fees. The new fees regime makes clear the need for as much accuracy as possible in assessing what the likely award is going to be. An additional…
IF YOU WANT A STAY PENDING APPEAL MAKE FULL AND TOTAL DISCLOSURE
In Goldsmith -v- O’Brien [2015] EWHC 510 (Ch) Judge Purle QC refused an application for a stay pending appeal. The case is an important reminder of the burden on a party seeking a stay pending appeal. THE CASE The claimant…
THE DEBATE ON COURT FEES IN THE HOUSE OF LORDS: WELL WORTH READING
Every litigator should read the debate on court fees that was held in the House of Lords. There are some trenchant criticisms of the MO(i)J which was responded to by “cant”. I have highlighted passages of interest but this is…
LITIGATION IS "VERY MUCH AN OPTIONAL ACTIVITY": HOW WOULD THE MO(I)J RESPOND TO "NON-OPTIONAL" LITIGANTS?
There is no greater sign of the MO(i)J’s lack of understanding of the reality of litigation than the statement, made in the House of Lords by Lord Faulks, that “litigation is very much an optional activity”. TELL THAT TO BUSINESSES…
JUST A BIT MORE ON COURT FEES…
Given the importance of the next few hours I will keep this short. 1. Lexis Nexis Blog have an interview with Keith Etherington on “Beating the fee hike – by 4pm” 2. The Guardian reports Claimants expected to rush to…
MITIGATING THE IMPACT OF THE COURT FEE INCREASE 2: FEE REMISSION – EVERY LITIGATOR HAS TO KNOW THIS NOW
This is the second in the series of posts on mitigating the impact of the court fee increase. Not for the first time Kerry Underwood has got to this point already. I am not going to repeat anything Kerry says…
PETITION ABOUT THE INCREASE IN COURT FEES
There is a petition to the Ministry of Justice which can be signed on-line. WHY SIGN THE PETITION? Regular readers of this blog will know the importance. This is summarised in the petition document itself “WHY IS THIS PETITION IMPORTANT?…
FIVE MORE IMPORTANT POINTS FOR THOSE ISSUING IN HASTE
Friday is ( or may be) effectively the last day you can issue under the old fee regime. This is going to be a busy day for many litigators. Here are five points in an attempt to ensure that no…
MORE ON THE ADVERSE IMPACT OF COURT FEE INCREASE: BLAME THE MO(i)J IF THE ECONOMY COLLAPSES
The impact of the court fee rise has reached the Global Legal Post with the headline that UK litigation specialist fear backlash against London over proposed court fee hike. However it is likely to have a major impact on SMEs…
YET MORE ON COURT FEES: SME'S AND "SECOND WAVE" OF PROPOSED INCREASES
There are more interesting posts on the impact of the new court fees regime. I propose to post on this issue regularly. If anyone has any comments, views or links please let me know. The SI itself (with the new…
MITIGATING THE IMPACT OF THE COURT FEES INCREASE 1: LIMITATION STANDSTILL AGREEMENTS
The general view of the court fee increases is well known. The increases are based on inadequate research and will have a major detrimental effect on the economy as well as the interests of justice. Since the increases are likely…
COURT FEES: IMPORTANT DEVELOPMENTS: IMPLEMENTATION DATE THE 9th MARCH
The Law Society Gazette reports that the implementation date for the revised Court Fees is likely to be the 9th March. It is interesting to look at recent developments and responses. OTHER DEVELOPMENTS Compare and contrast “Justice minister Shailesh Vara…
MORE ON INDEMNITY COSTS AND THE SUMMARY ASSESSMENT OF COSTS AT TRIAL: INTERCITY TELECOMS -v- SOLANKI
NOTE THAT THIS JUDGMENT HAS BEEN OVERTURNED BY THE COURT OF APPEAL, SEE THE POST HERE In Intercity Telecom -v- Solanki [2015] Judge Simon Brown QC awarded indemnity costs and assessed costs at the end of a trial. It is…
NO RE-ALLOCATION AT THE COURT OF APPEAL STAGE JUST TO GET COSTS: CONLON -v- ROYAL SUN INSURANCE PLC
In Conlon -v- Royal Sun Insurance plc [2015] EWCA Civ 92 the Court of Appeal refused to re-allocate a costs at the appeal stage when the application was made solely for the purpose of attempting to recover costs. THE ISSUES…
MORE ON BUNDLES: THERE IS MUCH TIME & MONEY TO BE SAVED YET
I have often commented (and been surprised) by the fact that a post on preparing trial bundles is always the most popular page on this blog. Following a prompt from Dominic Regan it was interesting to watch the live feed…
ANOTHER EXAMPLE OF A SUCCESSFUL DEFENDANT NOT RECOVERING ALL OF ITS COSTS (AND OF THE ADVANTAGES OF A PART 36 OFFER)
In Altus Group (UK) Limited -v- Baker Tilly [2015] EWHC 411 (Ch) HH Judge Keyser QC (sitting as a High Court Judge) made various orders in relation to the Defendant’s costs. The Defendant did not recover all their costs of…
THE PROPOSED COURT FEE INCREASE: ACTION BY THE LAW SOCIETY – READ THE STATISTICS ABOUT ACCESS TO JUSTICE
The Law Society has sent a pre-action protocol letter for judicial review to challenge the government’s proposed increase in court fees. “State provision for people to redress wrongs through the courts is the hallmark of a civilised society.’ THE LAW…
A GAME OF MORE THAN ONE HALF: THE COSTS ORDER IN HAMED -v- TOTTENHAM HOTSPUR
In Hamed -v- Mills & Tottenham Hotspur Football Club [2015] EWHC 298 (QB) Mr Justice Hickinbottom found negligence on the part of a doctor and football club in a claim brought by a professional football player. In a judgment, given…
IF YOU THINK "BIG MONEY" CASES AMOUNT TO A LICENCE TO INCUR COSTS THEN READ THIS
In Kazakhstan Kagazy PLC -v- Baglan Abdullayevich Zhunus [2015] EWHC 404 (Comm) Mr Justice Leggatt makes important observations about costs; the basis for assessing costs in “big money” cases (if not all cases) and interim costs in a case where the defendants’…
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