header-logo header-logo

11 December 2008
Issue: 7349 / Categories: Features , Costs
printer mail-detail

Court of Appeal slams lower court for failing to control small claim

Amanda Wadey looks at how a £2,000 claim ended up costing £100,000

The Court of Appeal has come down hard on a judge who allowed a small claim to be transferred to the multi-track on the basis of a spurious counterclaim. On the small claims track solicitors’ costs are not normally recoverable, unlike on the multi-track.
 

Facts of the case
 

Mr Peakman brought proceedings against Linbrooke Services to recover £2,232.40. Linbrooke contested the claim, making a basic counterclaim in response to the claim and a more substantial counterclaim which it valued in the region of £30,000 to £40,000. As a consequence of the more substantial counterclaim the matter was allocated to the multi-track.
On the first day of the trial, Mr Peakman argued that the substantial counterclaim should be struck out on the basis that it had no chance of success. However, Linbrooke persisted with it, despite there being no evidence to substantiate it, and was

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

Withers—Sophie Barrett-Brown

Withers—Sophie Barrett-Brown

Withers drives further growth in its UK immigration team with new partner Sophie Barrett-Brown

Venus Legal—Esther Amoako

Venus Legal—Esther Amoako

Venus Legal invests in next generation of legal talent as specialist litigation practice grows

Fisher Phillips—Catrina Smith

Fisher Phillips—Catrina Smith

Fisher Phillips continues momentum in London with arrival of Catrina Smith

NEWS
Restrictions on workplace non-disclosure agreements could make settlements slower, more complex and more expensive when reforms expected in 2027 take effect
Private prosecutors face closer scrutiny under Crown Prosecution Service guidance designed to strengthen accountability and consistency when intervention is requested
Foreign states cannot necessarily claim immunity for cyber operations launched abroad against computers in Britain, following a divided Supreme Court ruling
Defendants who make unsupported complaints about their lawyers risk losing legal aid while confiscation proceedings continue without representation
Lawyers advising Russian clients face different sanctions restrictions across the UK, EU and US, despite their shared objective of increasing pressure on Russia
back-to-top-scroll