The Ministry of Justice (MoJ) launched a consultation last week on ‘FRC: issues relating to the new regime’. It asks whether costs on assessment should be fixed, and whether there should be fixed costs for costs-only (Part 8) claims, an area where the MoJ believes there is ‘a gap’.
The MoJ also seeks views on the recoverability of inquest costs in Fatal Accident Act (FAA) cases and restoration of companies to the register proceedings. On inquest costs, the MoJ recognises that ‘an inquest will typically pre-date, and may (to an extent at least) enable the litigation.
‘In particular, in the multi-track where FRC do not apply, the costs involved in an inquest would be recoverable, whereas no such provision is currently available in the fast track or the intermediate track. As such, in the extended FRC regime, those dealing with FAA cases will no longer recover any inquest costs as they can do now’. The MoJ recognises ‘this could mean that the level of costs involved in the inquest will make the pursuit of any claim for compensation uneconomic, or that, if a bereaved individual’s claim is pursued, they will need to fund most of (if not all) of the costs involved in the representation at the inquest’.
On recoverability of advocates’ preparation costs where cases are settled late or vacated, the MoJ agrees there is merit in the Bar Council’s proposal that trial advocacy preparation fees be recoverable in full if settled or vacated on the day of trial, and 75% recoverable if settled or vacated two days before. However, it seeks more evidence on such a change and its impact.
The MoJ also seeks views on whether fees should be further uprated for inflation, and whether to make an explicit rule that early admissions of liability in clinical negligence cases must be in the pre-action protocol letter of response.
The consultation, due to close on 8 September, can be viewed here.
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