LEGAL COSTS BLOG

Welcome to our legal costs blog. Here you will find all the latest developments in the field of legal costs with summaries of and key takeaways from all the important cases. We hope you find it interesting and informative.

Two Way Costs Orders And CPR 44.2(8) | Payments On Account

The Defendant succeeded in striking out parts of the claim against it but failed in two other applications. As a ...

DSN v Blackpool Football Club Ltd (Rev 1) [2020] EWHC 670 (QB)

Another Failure To Mediate And An Award Of Indemnity Costs

Having beaten his own offer at trial the Claimant was awarded indemnity costs under CPR 36.17(4)(b) from 21 days after ...

PARVEEN, R (ON THE APPLICATION OF) V LONDON BOROUGH OF REDBRIDGE

Costs In Withdrawn Judicial Review Claims

This Court of Appeal decision examined the guidance in M v Croydon London Borough Council [2012] EWCA Civ 595 concerning ...

Elan-Cane, R (on the application of) v The Secretary of State for the Home Department & Anor

Costs Capping Orders And The Court’s Discretion As To Costs In Public Interest Judicial Review Proceedings

Prior to commencement of these public interest judicial review proceedings the parties had agreed that they recoverable costs on each ...

CPR 3.18(b) | Is Underspend Good Reason To Depart?

In March last year we reported on the decision in Salmon v Barts Health NHS Trust [2019] wherein HHJ Dight ...

KENT, R (ON THE APPLICATION OF) V TEESSIDE MAGISTRATES COURT

Aarhus Convention Claims, Interested Parties And The Cost Of Legal Research

In this short judgment following a determination by the court that the Aarhus Convention applied to the claim Mr Justice ...

Protective Costs Orders | The Principles

The appellant in this appeal was denied a Protective Costs Order (PCO) on grounds that despite the outcome being of ...

Points Of Dispute In Solicitor And Client Assessments: The Court Of Appeal Speaks

The Court of Appeal has upheld the decision of both Master Gordon-Saker (at first instance) and HHJ Klein (on appeal) ...

FAULKNER V SECRETARY OF STATE FOR BUSINESS, ENERGY AND INDUSTRIAL STRATEGY

QOCS: Setting Off Costs Against Costs

The court exercised its discretion against allowing a defendant to set off 'costs against costs' in a case where it ...

Lejonvarn v Burgess & Anor [2020] EWCA Civ 114

Speculative Claims, Indemnity Costs And The Effect Of An Approved Costs Budget

Following the dismissal of all claims by the High Court in this construction dispute, and an award of costs on ...

Manchester Shipping Ltd v Balfour Shipping Ltd & Anor

Relief Granted Following Late Filing Of A Costs Budget

Lionel Persey QC sitting as a Deputy Judge of the High Court granted the Defendants relief from sanctions following the ...

Is The Failure To Obtain A Fee Remission A Bar To Inter Partes Recovery?

A challenge we are seeing increasingly often goes along the lines of: "if the receiving party could have, but did ...

Court of Appeal: Fixed Costs Do Not Apply To Appeals But QOCS Does

The Court of Appeal determined the following costs issues following a successful second appeal: (1) Do the rules governing fixed ...

Costs In Private Prosecutions, London Solicitors And The “Singh” Discount

Following a successful private prosecution of his former co-director, resulting in three years of imprisonment, the claimant was awarded payment ...

ANTHONY V COLLINS [2020] EWHC B14 (COSTS)

Know Your Retainer Documentation Or Pay The Price

This case highlightds the importance of familiarising yourself fully with the retainer documentation under which you are acting. In the ...

How Relevant Is The SCCO Guide To Hourly Rates?

The SCCO Guide To Hourly Rates was last updated in 2010. In 2014 it was reviewed by the then Master ...

An Interest Exclusive Part 36 Offer Is Not A Part 36 Offer

Can a Part 36 Offer which excludes interest be validly made either generally or in the context of detailed assessment ...

The Scope Of An Appeal From Provisional Assessment

Dismissing this appeal against a decision of Master Leonard in the SCCO Mr Justice Stewart held that pursuant to CPR ...

The EL/PL Protocol And The Meaning Of ‘Vulnerable Adult’ In Para 4.3(8)

An employers liability claim which settled outside the EL/PL Protocol for £15,000 was not restricted to the fixed costs that ...

CPR 38.6: Discontinuance And Costs – The Legal Principles

This "long-running and ill-tempered dispute" between directors and shareholders of a residents association ended in September 2019 when the claimant ...

Indemnity Costs And The High Risk Of Pursuing A Weak Case

Mr Justice Teare determined an application for indemnity costs following the dismissal of the second claimant bank's US$77 million claim ...

CPR 36.17(4): Another Case Of Just Consequences

There have been a number of cases recently dealing with the consequences under CPR 36.17(4) of a claimant beating its ...

CFA Is A Contentious Business Agreement, High Court Rules

The Law Society's Model Form CFA contains a specific clause providing that "The parties acknowledge and agree that this agreement ...

CPR 36.17 And The Just Rewards Of A Good Part 36 Offer

Mr Justice O'Farrell rounded up the authorities on CPR 36.17 and found that a Claimant who had beaten its own ...

Contractual Interpretation Of Individual CFAs In A Multi Party Action

In a short judgment on costs following conclusion of the Iraqi Civilian Litigation The Hon. Mr Justice Turner was tasked ...

Part 36 Acceptance And Conventional (Assessed) vs Fixed Recoverable Costs

Overturning a first appeal decision of His Honour Judge Wulwik in the High Court, Lord Justice Newey determined that acceptance ...

CPR 46.9(3): Informed Consent In Solicitors Act Detailed Assessments

Master Victoria McCloud (sitting as a Deputy Costs Judge in the SCCO) determined preliminary issues in the course of a ...

Court of Appeal gets tough on exceptions to fixed costs: Counsel’s fees and CPR 45.29I(2)(h)

In this landmark decision the Court of Appeal took a trawl through the relevant provisions of the fixed costs regime ...

RASHID V OIL COMPANIES INTERNATIONAL MARINE FORUM [2019] EWHC 2600 (QB)

Judge declines to find exaggeration upon costs determination

In a short judgment following trial at which the claimant was awarded damages of £126,841 against a claim for £1.5 ...

GLOBAL ASSETS ADVISORY SERVICES LTD & ANOR V GRANDLANE DEVELOPMENTS LTD & ORS [2019] EWCA CIV 1764

Can the court order a payment on account under CPR 44.2(8) following acceptance of a Part 36 Offer? Court of Appeal says yes.

In November last year we reported on the case of Finnegan v Frank Spiers [2018] EWHC 3064 (Ch) in which ...

RXK v Hampshire Hospitals NHS Foundation Trust [2019] EWHC 2751 (QB)

Applications for payments on account in long running clinical negligence matters: Don’t just ask.

Master Cook has endorsed the approach taken by HHJ Robinson in I v Hull & East Yorkshire Hospitals NHS Trust ...

Mixed Claims and CPR 44.16(2)(b): Exceptions to Qualified One Way Costs Shifting (QOCS)

The Court of Appeal has considered the correct approach to QOCS in "mixed" cases involving personal injury and non personal ...

Issues Based And Proportional Costs Orders: When Should They Be Made?

The Court was tasked with determining costs following a hard fought piece of commercial litigation in which the claimant was ...

Fundamental dishonesty found on appeal by reason of material non disclosure

On a cross appeal arising out of this failed RTA claim Mr Justice Julian Knowles overturned the trial judge's finding ...

Counsel’s fee recoverable as a disbursement under the provisions of Section IIIA in CPR 45

On this appeal from Costs Officer Martin in the Senior Courts Costs Office, the Defendant contended that the Claimant had ...

MR v Commissioner of Police for the Metropolis [2019] EWHC 1970

High Court upholds a Claimant’s Part 36 Offer for nil damages in an action against the police

Allowing an appeal from a decision of HHJ Baucher in the Central London County Court Mrs Justice McGowan found than ...

Derrick Yirenki v Ministry of Defence [2019] EWHC 1955 (QB)

Part 36 And Interim Payments On Account of Costs

Following the decision of Birss J in J P Finnegan v Spiers (t/a Frank Spiers Licensed Conveyancers) [2018] EWHC 3064 ...

Without Prejudice Offer: Admission Denied

Following our recent report on the case of Hossaini v EDS Recruitment Ltd in which the Employment Tribunal had wrongly ...

BLYTH & ANOR V NELSONS SOLICITORS LTD [2019] EWHC 2063 (QB)

Oral Contracts And An Appellate Court’s Approach To Findings Of Fact

The appellants in this case are former clients of the respondent firm of solicitors. They alleged that in the course ...

FULLICK & ORS v THE COMMISSIONER OF POLICE FOR THE METROPOLIS [2019] EWHC 1941 (QB)

Recoverability Of Inquest Costs And Proportionality

This was the first appeal in which the recoverability of inquest costs in civil claims has fallen to be considered ...

CPR 52.18: Applications To Set Aside Permission Or To Impose Conditions Refused

We reported recently on HHJ Klein's dismissal of the appeal in this Solicitors Act dispute between Stewarts Law ("the Respondent") ...

TIMOKHINA v TIMOKHIN [2019] EWCA CIV 1284

Silence And Indemnity Costs In Family Proceedings

This was an appeal by the mother in Children Act proceedings against an order that she do pay £109,394 in ...

West and Demouilpied: ATE Premiums, Reasonableness And Proportionality

The long awaited and much anticipated judgment in these appeals has been handed down. The appeals raised a number of ...

Admissibility (or not) of without prejudice offers on costs

The Employment Tribunal was wrong to consider 'without prejudice' correspondence in its determination of costs following dismissal of a discrimination ...

Fouladi v Darout Ltd & Ors [2019] EWHC 1674 (Ch)

Bullock order upheld on appeal

Mr Justice Henry Carr dismissed an appeal against the making of a Bullock order against three of four defendants to ...

Payments on account in long running clinical negligence cases

Court of Appeal defends interim costs payments in long running clinical negligence matters

We previously reported on the decision of HHJ Robinson on appeal in the County Court at Northampton where he overturned ...

STATI & ORS v THE REPUBLIC OF KAZAKHSTAN

Discontinuance, indemnity costs and payments on account

This was a decision of Jacobs J as to the entitlement of the defendant following discontinuance to an award of ...

JLE v Warrington & Halton Hospitals NHS Trust Foundation Trust [2019] EWHC 1582 (QB)

High Court restores Claimant‘s ’additional amount’ under CPR 36.17(4)

This was an appeal against the decision of Master McCloud not to award the claimant a 10% ‘additional amount’ under ...

HORNE v PRESCOT (NO.1) LTD [2019] EWHC 1322 (QB)

Interest exclusive Part 36 Offers in detailed assessment proceedings

Disagreeing with Judge Robert Owen QC in Potter v Sally Montague (Nottingham CC), HHJ Nicol found that a Part 36 ...

MXX V UNITED LINCOLNSHIRE NHS TRUST [2018] EWHC B23

Costs budgeting and hourly rates: another case of miscertification

This was a decision regarding alleged mis-certification of a costs budget. The case bore similarities to the facts in Tucker ...

Knight & Anor v Knight & Ors (Costs) [2019] EWHC 1545 (Ch)

A costs-inclusive “Part 36 Offer” is NOT a Part 36 Offer

This was another in a line of cases which confirms that a Part 36 Offer cannot contain any provision as ...

Seekings & Ors v Moores & Ors [2019] EWHC 1476 (Comm)

Defendant fails to demonstrate significant developments under PD3E s7.6 to secure budget increase

The was an application by the defendant in a business dispute to upwardly revise his costs budget under PD3E s7.6 ...

HAMMOND V SIG PLC & SUBSIDIARY COMPANIE [2019] EWHC B7 (COSTS)

Fixed costs under Section III of CPR 45: is there any escape?

This was the latest in a series of unsuccessful attempts to escape fixed costs as governed by Section IIIA of ...

XDE v North Middlesex University Hospital Trust [2019] EWHC 1482 (QB)

Switch to Pre LASPO CFA following discharge of funding certificate deemed unreasonable

Applying the principles laid down in Surrey v Barnet And Chase Farm Hospitals NHS Trust [2018] EWCA Civ 451 Mr ...

East Sussex Fire And Rescue Service v Austin [2019] EWHC 1455 (QB)

Proportionality: money isn’t everything

In April 2013 the "old" proportionality test in the then CPR 44.4(2) was replaced by the "new" proportionality test in ...

AINSWORTH v STEWARTS LAW [2019] EWCA Civ 897

Points Of dispute In Solicitor And Client Assessments | It’s In The Detail

This was an appeal from a decision of Master Gordon-Saker made in the course of detailed assessment proceedings brought under ...

Bates & Ors v Post Office Ltd [2019] EWHC 1373 (QB)

Group litigation: a determination of costs related to common issues

This was a costs decision following determination of 23 common issues between the parties in group litigation between several hundred ...

Proportionality: a view from the High Court

It's been six years since the introduction of the "new" proportionality rule in CPR 44.3(5). In that time there have ...

10% ‘additional amount’ denied following successful Part 36 Offer on hourly rates

This was a decision of Deputy Master Friston (author of Friston on Costs) in the Senior Courts Costs Office. Having ...

HOWARD KENNEDY LLP v SPARTAFIELD LIMITED [2019] EWHC 1218 (Ch)

The relevance of costs estimates where no reliance is shown

Another important reminder of the importance of giving your client the best costs information possible throughout the life of your ...

Mussell & Anor v Patience & Anor [2019] EWHC 1231 (Ch)

A short judgment looking at trust and estate costs principles

Following proceedings for an account by the claimants as executors of what they had done with the deceased's estate HJJ ...

INVISTA v BOTES AND OTHERS [2019] EWHC 1086 (Ch)

CPR 36.17(4) and the sometimes ‘unjust’ consequences of Part 36

In this rare costs decision following a breach of confidence claim from their ex-employers, a multinational corporation, the defendants successfully ...

CALONNE CONSTRUCTION LTD v DAWNUS SOUTHERN LTD [2019] EWCA CIV 754

Court of Appeal upholds validity of Part 36 Offer

The Court of Appeal has dismissed a challenge to the validity of a Part 36 Offer on grounds that i) ...

Ferri v Gill [2019] EWHC 952 (QB) (17 April 2019)

Master wrong to set a “low bar” to escaping fixed costs

A Master (sitting as deputy costs judge) was wrong to set a "low bar" when determining whether a case had ...

BARTS HEALTH NHS TRUST v HILRIE ROSE SALMON (On appeal, County Court at Central London)

HHJ Dight upholds Master’s proportionality finding

Following his more widely reported decision on CPR 3.18(b) HHJ Dight declined to interfere with the Master’s ruling on proportionality ...

Khandanpour v Chambers [2019] EWCA Civ 570

Relief from sanctions granted where deadline missed by “a few hours”

Relief from sanctions was granted in a case where the appellant had failed to meet the deadline for payment of ...

100% success fee model in low value personal injury claims shut down by Court of Appeal

The Court of Appeal has upheld the decisions of District Judge Bellamy (first instance) and Soole J (on appeal) that ...

BARTS HEALTH NHS TRUST v HILRIE ROSE SALMON

CPR 3.18(b): Good reason to depart?

HHJ Dight finds on appeal that the fact that the sum claimed on assessment in any given phase of a ...

payments on account in clinical negligence cases

Payments on account in long running clinical negligence cases

The Claimant successfully appealed a decision to refuse a further interim payment on account of costs in a case where ...

You recovered 2% of your claim. Did you win?

So, you've recovered £700,000. But you were claiming £38m. Who really won? Sir Antony Edwards-Stuart found that the claimant's recovery ...

CPR 44.11: Misconduct in detailed assessment proceedings

There have been number of cases recently dealing with alleged misconduct in the course of detailed assessment proceedings and applications ...

Solicitors entitled to enforce costs incurred under a CFA against client who rejected their advice

Managing a client's expectations in litigation can be difficult. Where there is no CFA, the client has the privilege of ...

Claiming costs in one action as damages in another

Head Note CASE NAME INDEMNITY COSTS : STANDARD BASIS 1 This was an application by the Claimant for permission to ...

Allegations of misconduct and the court’s powers under CPR 44.11

Deputy Master Friston determined an application made in the course of a detailed assessment hearing for partial or full disallowance ...

Interim Payments In Solicitors Act Detailed Assessments

Dealing a further blow to the claimant in this ongoing piece of costs litigation between boxing promoter, Frank Warren, and ...

Costs budgeting, hourly rates and appropriate use of partner time

Mr Justice Warby comments on hourly rates and the appropriate use of partner time in the course of setting costs ...

Get Your Order Right!

On appeal against decisions made in the course of a detailed assessment in the Senior Courts Costs Office Mrs Justice ...

Assessing the risk in a liability admitted case

Reducing the Claimant's 65% success fee on appeal to 12.5% Mr Justice Martin Spencer analyses the proper approach to the ...

Master declines to award 10% ‘additional amount’ under CPR 36.17(4) on grounds of proportionality

Master McCloud exercised her discretion and declined to award the claimant a 10% 'additional amount' under CPR 36.17(4) on grounds ...

Increase in costs budget approved following a ‘significant development’ in the litigation

Master Davison approves the majority of a 78% increase in the disclosure phase of the claimant’s costs budget following disclosure ...

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