header-logo header-logo

13 June 2019 / Graeme Kirk
Issue: 7844 / Categories: Features , Procedure & practice , Costs
printer mail-detail

A (costly) flawed procedure?

Jofa  highlights a procedural problem in relation to the fair allocation of costs in the Court of Appeal, as Graeme Kirk explains

  • The decision in Jofa is indicative of a flawed procedure in the CPR which the rule committee ought to revisit.

The Court of Appeal’s decision in Jofa Limited and Farah v Benherst Finance Limited and Chestone Industry Holding [2019] EWCA Civ 899 principally concerned the costs applicable where pre-action disclosure is ordered against someone who is not anticipated to be a party to proceedings—a Norwich Pharmacal order.

Jofa Limited is a small building firm, incorporated by its shareholder and director, Mr Farah, who had been the second respondent to an application for Norwich Pharmacal relief brought by overseas investors. The investors Benherst Finance Ltd and Chestone Industry Holding claimed that their money had disappeared, rather than bearing fruit in a luxury Knightsbridge development project, and wished to know from Jofa and Mr Farah, as well as from the NatWest, what had happened to it by looking at accounts and contract documents.

At

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Weightmans—Jason Slatcher

Weightmans—Jason Slatcher

Weightmans appoint new Chief Technology Officer

Mishcon de Reya—trainees

Mishcon de Reya—trainees

Mishcon de Reya announces trainee retention rate of 86%

Sackers—Charlotte Adams & Fraser Sutton

Sackers—Charlotte Adams & Fraser Sutton

Sackers welcomes two new Graduate Solicitor Apprentices

NEWS
LexisNexis is delighted to announce the launch of the LexisNexis Legal Awards 2027, celebrating outstanding achievement, innovation and impact across the legal profession
The Legal Services Board (LSB) is to take further enforcement action against the Solicitors Regulation Authority (SRA), setting additional performance targets and ‘intensifying’ its oversight, it has said
Regulators missed several opportunities to intervene in PM Law Group before it collapsed, an independent review by City firm Jenner & Block has found
An employer’s vicarious liability for the alleged torts of an employee cannot be transferred by TUPE, the Court of Appeal has confirmed
Tiered fees of up to £1,500 for Legal Ombudsman (LeO) cases could leave firms with little option but to pay out, lawyers have warned
back-to-top-scroll