COST BITES 391: TOO MUCH CORRESPONDENCE, GRADE C RATES NOT INCREASED AND “SO CALLED” SKELETON ARGUMENTS, WHICH REPEAT THE CONTENTS OF OVER-LENGTHY WITNESS STATEMENTS
There are some interesting observations in the short judgment on costs in this case. There was too much correspondence, “witness statements” were in reality skeleton arguments, with the contents then repeated in skeleton arguments. Furthermore a “good” Grade C is…
COST BITES 391: COURT OF APPEAL UPHOLDS DECISION THAT SOLICITOR’S BILL SHOULD BE ASSESSED AT “NIL”: THERE IS NO “RESTITUTIONARY” RIGHT TO DAMAGES WHERE THE CFA ITSELF MADE EXPRESS PROVISIONS FOR THESE CIRCUMSTANCES
I wrote about this case in August 2025 “Here we have a case that could well bring tears to the eyes of any litigator who works on a conditional fee basis. For the second time, on appeal, the claimant solicitor’s…
COST BITES 388: A COMPANY CANNOT CLAIM ITS OWN EMPLOYEE’S TIME AS LEGAL COSTS WHEN IT WAS REPRESENTED ON AN APPEAL
Here we have a reiteration of a long established principle as to costs. A company can only recover legal costs on an assessment, not the costs of being a litigant. Here the appellant sought to recover both. The Costs Judge…
COST BITES 387: THERE IS NO PRESUMPTION THAT THERE MUST BE A DETAILED ASSESSMENT WHERE A CASE LASTS MORE THAN ONE DAY: JUDGE SUMMARILY ASSESSES COSTS AFTER A THREE DAY HEARING
Here we have a case where there was an argument whether there should be a summary or detailed assessment. The judge made it clear that there is no presumption against summary assessment simply because a hearing lasted more than one…
COST BITES 386: THREATS TO REPORT THE DEFENDANTS’ SOLICITORS TO THE SRA WAS ONE OF THE REASONS THE CLAIMANT HAD TO PAY COSTS ON AN INDEMNITY BASIS: WEAPONISERS BEWARE
This case is another warning to those who are thinking about issuing committal proceedings on a “tactical” basis. The judge decided that the claimant’s conduct in the bringing of committal proceedings in this matter should lead to their paying costs…
COST BITES 385: THE COURTS SHOULD BE WARY OF DECIDING PRELIMINARY APPLICATIONS AND ISSUES ON A PROVISIONAL ASSESSMENT: THIS COULD UNDERMINE THE WHOLE PURPOSE OF THE REGIME
We are looking at an interesting decision in relation to the court being asked to determine preliminary issues in the provisional assessment process. The judge held that the courts have jurisdiction to determine preliminary applications and issues however it should…
COST BITES 383: WHO SHOULD PAY THE COSTS FOLLOWING “MIXED” SUCCESS AT A SUMMARY JUDGMENT APPLICATION? WHAT IS A FAIR AND REASONABLE AMOUNT? (SOMETHING ABOUT APPROPRIATE DELEGATION AND HOURLY RATES TOO…)
This judgment considers issues relating to the liability of costs, reasons why “mixed” success should lead to a reduction and the appropriate quantum for costs on a summary assessment. There are also interesting issues here in relation to hourly rates…
COST BITES 382: SHOULD THE COURT DEPART FROM THE FIXED COSTS REGIME? : “THIS HAS BECOME A COMPLEX APPLICATION…”
One of the (many) things that litigators need to keep an eye on in years to come is the circumstances in which the courts depart from fixed costs regimes. If this happens too readily then the purpose of the regime…
COST (MEGA) BITES 382: THE AMOUNT WAS “STAGGERING” BUT THE COURT CANNOT INTERFERE WITH AN ARBITRATOR’S AWARD OF $26 MILLION FOR COSTS
Anyone going through a detailed assessment of costs can look ruefully at this judgment about costs in arbitration proceedings. The arbitrator awarded $26 million in costs based on very scant information. As it turns out the courts had no power…
COST BITES 381: DOES THE COURT HAVE POWER TO ORDER SECURITY FOR COSTS IN RELATION TO AN ASSESSMENT? SOME INTERESTING COMMENTS ABOUT THE COSTS OF ASSESSMENT ALONG THE WAY…
This case is interesting for several reasons. Firstly the judge considers whether the court has power to order security for costs in a detailed assessment. Secondly there are some interesting observations about the costs incurred in the assessment process (and…
COST BITES 380: “ALWAYS CHOOSE A COSTS LAWYER FOR EXPERT LEGAL COSTS ADVICE”: GUIDANCE FROM THE SRA
The Solicitors Regulation Authority have sent out a short Note on selecting professional help to assess legal costs. It is worth reading. Indeed it may be regarded as essential reading. “Using an unregulated costs adviser can expose you and your…
COST BITES 379: HIGH COURT JUDGE UPHOLDS DECISION THAT INTERIM BILLS WERE STATUTE BILLS AND THAT THE CLAIMANT COULD NOT SEEK ASSESSMENT OUT OF TIME
This decision is important for two reasons. Firstly it upholds the original judgment that the interim bills in this case were statute bills and that there were no special circumstances to allow assessment out of time. Secondly it highlights the…
COST BITES 378 : REFORM OF THE SOLICITORS ACT 1974, PART III: READ THE CONSULATION PAPER: A CHANCE TO COMMENT ON THE PROVISIONS THAT ARE “A GREAT MYSTERY” TO MANY SOLICITORS (NOT MY WORDS…)
There is no shortage of posts about solicitor-client costs on this site (see the links section below). The Civil Justice Council have issued a Consultation Paper on reform of Part III of the Solicitors Act. “Whilst it might be expected…
DEDUCTING COSTS FROM THE CLAIMANT’S DAMAGES: A DEDUCTION OF £2,500 REDUCED TO £330: THE WARNING NOTICE FROM THE SRA REITERATED IN A COURT JUDGMENT
The previous post mentioned a webinar this Friday on deducting costs from the client’s damages. Right on cue this judgment occurred on that very topic. It makes some very important observations. It has created more work in preparing the webinar,…
DEDUCTING COSTS FROM THE CLIENT’S DAMAGES: THE LAW AND PRACTICE: WEBINAR 24th APRIL 2026
Recent cases have shown that the issues relating to to deducting costs from the client’s damages remain controversial and highly contested. This webinar examines the regulatory framework and case law governing the deduction of legal costs from a client’s damages…
THE SUMMARY ASSESSMENT OF COSTS: A GUIDE FOR PRACTITIONERS: WEBINAR 17th APRIL 2026
Last week we saw a case where, on a summary assessment, costs were reduced from £2.6 million to £750,000 on a summary assessment. Clearly not all assessments are going to involve these amounts, however the case highlights that these can…
ACCEPTANCE OF A PART 36 OFFER WHILST AN APPLICATION TO REALLOCATE THE CASE FROM BAND 2 TO BAND 1 IS PENDING: CAN THE COURT STILL PROCEED TO REALLOCATE?
I am grateful to my colleague Steven Turner for sending me a copy of this interesting decision which relates to Part 36, fixed costs and applications to “re-band” a case. The case may be unusual in that an application for…
PRACTICE NOTE FROM THE CHANCELLOR OF THE HIGH COURT: NEW REQUIREMENTS FOR SUMMARY ASSESSMENT FROM 14th APRIL 2026 (UPDATED)
Last month I wrote about the Practice Note in relation to Summary Assessments that take place in the Rolls Building from the 14th April 2026. That Practice Note was superseded by a further Practice Note issued yesterday. (In other words…
MAZUR MATTERS 59: REMEMBER THAT MOST OF THIS AROSE BECAUSE SOMEONE DIDN’T KNOW (OR APPLY) THE CORRECT RULES AS TO FIXED COSTS
One underlying irony about the Mazur debacle is that most of the problems arise because of a mistake as to costs. The Circuit Judge ordered Ms. Mazur and Mr Stuart £10,653 when, in fact, the costs should only have been £636.00. …
COST BITES 376: THE NEED TO KEEP THE CLIENT INFORMED OF COSTS BEING INCURRED: THE SOLICITOR SHOULD HAVE INFORMED THE CLIENT THAT COSTS OF US $35,343,213.96 WERE BEING INCURRED
This judgment highlights the need for a solicitor to keep the client fully informed of the costs incurred. The judge observed that the SRA Code of Conduct imposed a positive duty on a solicitor to give the client the best…
BACK TO BASICS MONDAY: TIME LIMITS FOR CHALLENGING SOLICITORS’ BILLS
There have been a large number of posts recently relating to solicitor and own costs assessments. Many of these cases have related to the issue of whether bills delivered were “statute” bills “interim statute bills” or simply interim bills. The…
COST BITES 375 : WHY THESE INTERIM BILLS WERE NOT STATUTORY BILLS: “VERY CLEAR EVIDENCE WOULD BE NEEDED TO ESTABLISH THAT AN INVOICE WHICH, ON ITS FACE, IS EXPRESSLY NOT FINAL HAS NONETHELESS BEEN AGREED TO BE FINAL”
Last month we looked at a case where a series of interim bills were found to be statutory bills. Today we look at a case where the court came to the opposite conclusion. This has important practical consequences in that…
COST BITES 374: IF THIS WAS A CBA THE UNILATERAL ABILITY TO VARY RATES WOULD HAVE LED TO IT BEING SET ASIDE ON THE GROUNDS IT WAS UNREASONABLE
We are continuing with our examination of a case we looked at yesterday. The court found that the agreement between the parties was not a Contentious Business Agreement. However the judge also stated that it it had been a CBA…
COST BITES 373: THIS ENGAGEMENT LETTER WAS NOT A CONTENTIOUS BUSINESS AGREEMENT: “CERTAINTY” IS AN ESSENTIAL INGREDIENT
In this case the court considered whether a solicitor’s letter of engagement amounted to the creation of a Contentious Business Agreement. It was held that there was too much uncertainty for this to be a CBA. The failure to set…
COST BITES 372: BILL REDUCED FROM £2.6 MILLION TO £750,000: WHY SUMMARY ASSESSMENTS CAN MATTER (A LOT…)
For many years now we have been looking in detail at summary assessments. On occasion the sums involved, and the reductions that take place, can be considerable. We have such a case here. An initial schedule of £2.6 million (excluding…
COST BITES 371: A SUMMARY ASSESSMENT IN ACTION: THE RESPONDENT’S SENSIBLE APPROACH SAVED TIME BUT INVESTIGATION WAS NEEDED
We are continuing with the practice of looking at what actually happens in summary assessments. These are rarely looked at in detail elsewhere. This case is also interesting in that, although the respondents adopted a “neutral” approach to the application…
COST BITES 370: THE OTHER PART OF THE CAR PARKING SAGA: COURT AWARDS COSTS AGAINST THE CLAIMANT IN A SMALL CLAIMS TRACK CASE
Here we return to the case considered in the previous post. The judge refused to allow the claimant’s representative a right of audience in a Small Claims Track case. This was a Small Claims Track case, however the judge then…
MAXIMISING RECOVERY IN INTER PARTIES COSTS: THE ROLE OF THE FEE EARNER: WEBINAR 9th APRIL 2026: 12.00 pm: TRYING TO MAKE SURE YOU OBTAIN MAXIMUM RECOVERY ON ASSESSMENT
This webinar examines the crucial role of the fee earner in maximising the recovery of legal costs. Many litigators have limited experience of detailed assessments and may be unaware of the challenges that can arise during the process. The session…
COST BITES 368: THERE WERE NO “SPECIAL CIRCUMSTANCE” WHICH MEANT THE SOLICITOR’S BILL SHOULD BE ASSESSED OUT OF TIME: THERE IS NOTHING THAT CALLS FOR AN EXPLANATION
We are returning to the previous case to look at the second half of the Cost Judge’s decision. Having determined that the bills were statute bills the judge then considered whether there were “special circumstances” which would entitle the claimant…
COST BITES 367: THE SOLICITOR’S TERMS OF BUSINESS MEANT THAT BILLS RENDERED WERE EACH FINAL BILLS: THE TERMS OF ENGAGEMENT WERE “UNEQUIVOCALLY CLEAR”
The issue of whether “interim” bills rendered by solicitors were “statute” bills or “Chamberlain” bills is one that can have profound practical importance. If they are not statute bills then they may be open to a Solicitors Act assessment. If…
COST BITES 364: THE PHILOSOPHY OF THE CPR IS “PAY AS YOU GO”: JUDGE SUMMARILY ASSESSES COSTS OF SUMMARY JUDGMENT ISSUES AT £109,576 PLUS VAT
Here we are returning to a case we looked at yesterday. The judge granted the claimant summary judgment on certain issues. The defendants elected not to attend the application. The defendants were ordered to pay costs on the indemnity basis. …
THE IMPORTANCE OF SOLICITORS’ ESTIMATES IN RELATION TO COSTS: SOME EXAMPLES WHERE PROBLEMS HAVE OCCURRED (WITH A FINAL PLUG FOR THE WEBINAR ON THE 19th MARCH)
The recent short series on this site about the Ombudsman and estimates of costs highlighted the issues that can occur when there are disputes over costs and the original figures given by the solicitor. However the Ombudsman is not the…
PRACTICE NOTE FROM THE CHANCELLOR OF THE HIGH COURT: NEW REQUIREMENTS FOR SUMMARY ASSESSMENT FROM 14th APRIL 2026: COSTS SCHEDULES SHOULD BE FILED USING EXCEL SPREADSHEETS
NB THIS PRACTICE NOTE WAS REPLACED ON THE 14th APRIL – BEFORE IT WAS BROUGHT INTO FORCE – IT WAS REPLACED WITH A FURTHER NOTE, SEE THE BLOG POST HERE The Chancellor of the High Court has issued a Practice…
DECISION TODAY IN RELATION TO RECOVERABILITY AND ASSESSMENT OF FEES CHARGED BY MEDICAL REPORTING ORGANISATIONS: ANOTHER ROUND IN A VERY LONG WAR…
We are looking at another round in the ongoing “costs of medical reporting organisations” series of battles. As the judge anticipated this may well not be the last round. Here I provide a brief summary of the conclusions. A more…
COST BITES 363: A SUMMARY ASSESSMENT OF A HEAVY COMMERCIAL APPLICATION TO STRIKE OUT IN PRACTICE: £87,698 REDUCED TO £70,158.64 (BUT NOT TO £39,460): “COMPARATIVE SPEND CAN BE A CROSS-CHECK; IT IS NOT DETERMINATIVE”
We are continuing with the practice of looking at summary assessments. These receive relatively little attention, however they can play a large part in the economics of litigation. Here we see some interesting arguments in relation to hourly rates, the…
COSTS INFORMATION AND THE OMBUDSMAN 7: HEADING OFF PROBLEMS AT THE OUTSET: (WEBINAR THIS THURSDAY 19th MARCH 2026 – WITH LOTS OF CHECKLISTS)
This short series has aimed to highlight the ongoing difficulties that litigators, in particular, can have with giving compliant costs information to their clients. In looking at this topic it is clear that there are numerous cases where clients have…
COSTS INFORMATION AND THE OMBUDSMAN 6: YOU SAID IT WOULD COST £2,500 – £3,000 – I’VE PAID YOU £16,000: THE IMPORTANCE OF GIVING ESTIMATES AS TO DISBURSEMENTS
This decision emphasises the fact that when giving costs estimates the solicitor should also do their best to estimate the costs of disbursements in addition to their own costs. Here the solicitor mentioned that there would be additional costs if…
COST BITES 362: WHETHER A BREAKDOWN SHOULD BE PROVIDED ON A DISBURSEMENT: READ THE JUDGMENT
An earlier post related to this case which deals with the question of whether a party should provide a breakdown of an invoice from a translator. Ben Williams KC has kindly provided me with a copy of the judgment. “In my judgment,…
COST BITES 361: THE STEPS A CLAIMANT SHOULD TAKE IF THEY WISH TO RECOVER PRE-ALLOCATION COSTS ON THE BASIS THAT THE CASE WOULD HAVE PROCEEDED IN THE FAST TRACK
I am grateful to Andrew Hogan for sending me a copy of this decision which relates to pre-allocation costs in housing cases. It deals with the question of how the court should address pre-allocation costs where a housing disrepair claim…
COURT OF APPEAL OVERTURNS DECISION ABOUT LATE ACCEPTANCE OF PART 36 OFFER LEADING TO CLAIMANT BEING ENTITLED TO COSTS TO BE ASSESSD
It is a busy day for Court of Appeal decisions on procedure. Here we have an important judgment on Part 36. What are the costs consequences if a defendant makes a Part 36 offer when the case is subject to…
COST BITES 360: THE COURT DOES HAVE POWER TO ORDER SECURITY FOR COSTS IN A SOLICITORS ACT ASSESSMENT: HOWEVER IT MADE AN ORDER FOR AN INTERIM PAYMENT INSTEAD
Here we have a case that it about the complex “fall out” following funding of litigation by litigation funders. The claimant sought an assessment of costs on the basis that it may have an interest in the sums being sought….
COST BITES 359: A SOLICITOR’S FAILURE TO SIGN THE COSTS CERTIFICATE PROPERLY DID NOT RENDER THE BILL INVALID (THIS MAY EXPLAIN WHY BIRMINGHAM COUNCIL DOES NOT HAVE ANY MONEY…)
Here we have an appeal by a paying party on a highly technical point. The appeal failed. It highlights the dangers of (i) permitting a default certificate to be entered; (ii) taking technical points which (as the Court observed) led…
COST BITES 359: FAILING TO SIGN CONSENT ORDER LEADS TO £44,000 IN COSTS: “GOING SILENT” IS NOT A CHEAP OPTION…
Just a quick warning here about the costs of not signing a consent order having agreed to so something. It can be expensive. We have a case here where it cost £44,000 when the claimant made an application because the…
COST BITES 358: JUDGE DOES NOT AWARD COSTS ON AN APPLICATION FOR PERMISSION TO APPEAL BECAUSE THE RESPONDENT (INITIALLY) ASKED FOR TOO MUCH
It is not unusual for a party, on an interlocutory application, to put in a schedule of costs that covers the entire action. Sometimes this is justified, often it is not. Here we have a case where this backfired. The initial…
COST BITES 357: DISBURSEMENTS: WHAT IS A REASONABLE AND PROPORTIONAL INTERPRETER’S FEE? NOTE OF THE JUDGMENT ON APPEAL (AND THAT PERENNIAL ISSUE OF WHETHER A BREAKDOWN SHOULD BE PROVIDED…)
I am grateful to Ben Williams KC for sending me a note of the judgment yesterday which was the appeal against the decision in Santiago v Motor Insurers’ Bureau (The County Court at Central London, 22nd February 2025). The second time…
COST BITES 356: DO FIXED COSTS APPLY WHEN THE CASE IS TRANSFERRED AWAY FROM A FIXED COSTS REGIME TO ONE WHERE COSTS ARE “AT LARGE”
Here we are considering a Court of Appeal decision about what costs order should be made when an action is transferred from a fixed costs regime to one where costs are at large. On the face of it the decision…
COST BITES 354: VARYING A BUDGET (2) HOW WAS THE ISSUE OF “SIGNIFICANT DEVELOPMENTS” CONSIDERED IN PRACTICE?
The previous post looked at the judge’s consideration of the principles relating to variations in a costs budget. Here we look at how this worked out in practice with the judge considering whether various issues amounted to “significant developments”. Some…
WHAT TO DO WHEN THINGS GO WRONG IN LITIGATION (2): CONTRIBUTIONS FROM THE NICE PEOPLE OF TWITTER:
I am here summarising the Advice given by lawyers on the social media site formerly known as Twitter. In April 2019 I asked lawyers what their advice would be for their colleagues in the profession when things go wrong. Specifically…
COST BITES 350: KNOWING HOW JUDGES APPROACH BUDGETING WHEN ONE SIDE SEEKS MUCH MORE THAN ANOTHER: IS THE COURT A “SLAVE TO COMPARISON”?
It is always important, and enlightening, to have a close look at judicial observations on the nature of costs budgeting. We have a useful judgment here. The judge considered the applicable principles and guidance before carrying out budgeting in a…
COST BITES 348 : A PARTY SEEKING SECURITY FOR COSTS SHOULD HAVE INCLUDED TIME SPENT IN SETTLEMENT AND ADR
There is an interesting comment at the end of the judgment. The judge made an order for security for costs. However he also expressed concern that the defendant’s estimated costs did not include anything in relation to the costs of…
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