header-logo header-logo

23 June 2016 / Dominic Regan
Issue: 7704 / Categories: Opinion , Costs , Budgeting
printer mail-detail

Costs turbulence

nlj_7704_regan

Proportionality was always going to be a problem, says Dominic Regan

Mitchell was unquestionably the harshest procedural decision of the century. Well it was until now. In BNM V MGN [2016] EWHC B13 the senior costs judge found himself in the wrong place at the wrong time. He was obliged to apply the new, inchoate proportionality test to a bill of costs.

Having carefully worked through the component parts of the bill he arrived at a figure that represented the necessary, reasonable expenditure incurred by the claimant to whom we will return later.

However, matters did not end there. He concluded his decision by rolling out the proportionality test which is both enshrined in the costs rules and the overriding objective. The latter at the Jackson revised CPR 1.1 requires the court to deal with cases justly and at proportionate cost.

Applying some innate skill he then proceeded to slash the entire bill by 50%, although allowing court fees in full.

Proportionality

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

Switalskis—five appointments

Switalskis—five appointments

Firm expands national abuse compensation team

Mathys & Squire—nine promotions

Mathys & Squire—nine promotions

IP firm announces new partners and senior promotions across UK offices

Carey Olsen—five promotions

Carey Olsen—five promotions

Carey Olsen promotes five lawyers to the partnership

NEWS
Executors may be overlooking billions of pounds in estate assets hidden in forgotten investments and misplaced share certificates
Britain’s booming non-surgical cosmetics market is operating in what some critics describe as a regulatory ‘Wild West’
Family contact disputes are becoming an increasingly prominent feature of Court of Protection litigation
Material obtained through US discovery applications may have a much longer legal life than many litigants realise
English courts are developing a distinctly practical approach to sanctions disputes arising from Russia’s invasion of Ukraine
back-to-top-scroll