Costs

Government accepts need for greater clarity in regulations governing damages-based agreements

The government has today published the results of its post-implementation review of the key legislation that implemented the costs and funding aspects of the Jackson reforms in April 2013: Part 2 of the Legal Aid, Sentencing and Punishment of Offenders Act 2013 … Continue reading

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High Court makes non-party costs order against liability insurer

In a recent decision, the High Court has made a non-party costs order against a law firm’s professional indemnity insurer, in circumstances where the insurer had effectively relinquished control of the defence of the litigation: Various Claimants v Giambrone & … Continue reading

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Capped costs pilot to start 14 January for claims up to £250,000

A voluntary capped costs pilot will run for two years from 14 January 2019 for cases valued at between £100,000 and £250,000 in the London Circuit Commercial Court (formerly the Mercantile Court) and the business and property courts in Manchester … Continue reading

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The dangers of filing an incomplete costs budget

The High Court has imposed severe sanctions on a claimant who “genuinely but mistakenly” thought it was acceptable to file a costs budget excluding the phases of trial preparation and trial: Page v RGC Restaurants Ltd [2018] EWHC 2688 (QB). … Continue reading

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Court of Appeal overturns non-party costs order due to a “failure to warn”

The Court of Appeal has overturned a High Court decision granting a non-party costs order against an insolvent company’s director and majority shareholder. The court cited the claimant’s failure to warn the non-party of its intention to seek such an … Continue reading

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High Court orders indemnity costs following discontinuance of proceedings alleging serious fraud

The High Court has ordered indemnity costs against a claimant who made repeated and serious allegations of fraud against the defendants and then discontinued the proceedings without explanation: PJSC Aeroflot – Russian Airlines v Leeds & Anor (Trustees of the … Continue reading

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Court of Appeal rejects “sliding scale” approach to level of security for costs when real risk of non-enforcement established

The Court of Appeal has allowed an appeal against the High Court’s decision to reduce the amount of security for costs a Russian-resident claimant was ordered to pay by applying a “sliding scale” of risk where the defendants had shown … Continue reading

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Awarding costs in group litigation: Court of Appeal says “who receives the cheque” does not determine success

A recent Court of Appeal decision illustrates the court’s approach to awarding costs in the context of complex group litigation, and how it differs from the approach taken in ordinary commercial litigation: Sirketi v Kupeli [2018] EWCA Civ 1264. Under … Continue reading

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Article published – Litigation funding: does the cap fit?

It is well established that, where a third party funds litigation in return for a share of the proceeds, the funder is potentially liable for adverse costs if the claim fails. That liability is generally thought to be subject to the … Continue reading

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High Court clarifies approach to revising costs budgets where there are significant developments in the litigation

In a recent decision in the HBOS acquisition litigation, the High Court has clarified the proper approach in considering a party’s application to approve a revised costs budget in the light of significant developments in the litigation, under paragraph 7.6 … Continue reading

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