Part 36 offers

Court of Appeal finds Part 36 precludes split costs order unless full costs recovery would be unjust

The Court of Appeal has overturned an order depriving a claimant of part of her costs where she had beaten her own Part 36 offer: Webb v Liverpool Women's NHS Foundation Trust [2016] EWCA Civ 365. Where a claimant obtains … Continue reading

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Recent decisions highlight potential disadvantages of making offers outside Part 36

In two recent decisions, the courts have refused to treat offers which fell outside the Part 36 regime as favourably as a Part 36 offer. In Patience v Tanner [2016] EWCA Civ 158 the defendant's offer was not a Part … Continue reading

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High Court gives effect to claimant’s Part 36 offer for 95% of claim value

The High Court has awarded a claimant indemnity costs where the defendant conceded liability shortly before a split trial, having previously refused the claimant's Part 36 offer to accept liability for 95% of damages to be assessed: Jockey Club Racecourse Limited v Willmott … Continue reading

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Part 36 offers: Court of Appeal re-buries “near miss” rule

The Court of Appeal has overturned a first instance decision which had ordered the claimants to pay the defendant's costs for the period following the defendant's Part 36 offer, even though the claimant had beaten the offer by about 10%: … Continue reading

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High Court held offer not valid under Part 36 where it related to proposed claim by amendment

The High Court has held that an offer to settle was not a valid Part 36 offer since it related only to a claim put forward in draft amended particulars of claim: Hertel v Saunders [2015] EWHC 2848 (Ch).  Since the proposed claim … Continue reading

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The dangers of time-limited Part 36 offers

A recent High Court decision suggests that a claimant’s Part 36 offer to settle may have little benefit unless it is kept on the table until the conclusion of the case: Gulati & ors v MGN Ltd [2015] EWHC 1805 (Ch). … Continue reading

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Part 36 costs sanctions delayed until defendant had information needed to assess quantum

In a recent case where the claimant beat its Part 36 offer to settle, the High Court held that it would be unjust to apply the Part 36 costs sanctions against the defendant (namely, indemnity costs and enhanced interest) until the defendant had … Continue reading

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Think twice before withdrawing a Part 36 offer

A recent High Court decision illustrates the drawbacks of withdrawing a Part 36 offer to settle, namely the potential loss of some or all of the costs benefits that would otherwise have arisen if the opponent fails to beat the offer: Uwug Limited … Continue reading

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Significant changes to CPR Part 36 from April 2015

CPR Part 36 contains a set of rules aimed at encouraging parties to settle their disputes. It does this by imposing sanctions where a party refuses an offer to settle made under Part 36 but then fails to get a better result … Continue reading

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Court of Appeal confirms time for claiming contribution to damages runs from acceptance of Part 36 offer

The Court of Appeal has held that, where a claim was settled by acceptance of a Part 36 offer, the defendant’s two-year limitation period for bringing a contribution claim ran from the date of acceptance, not from the date of … Continue reading

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