header-logo header-logo

26 March 2009 / Chris Lethem
Issue: 7362 / Categories: Features , Procedure & practice , Costs
printer mail-detail

If the cap fits

Chris Lethem looks at the effect of new cost capping rules

In Willis v Nicolson [2007] EWCA Civ 199, [2007] All ER (D) 205 (Mar) the court declined to give guidance to practitioners as to the parameters and the practice of costs capping, preferring to refer the matter to the Civil Procedure Rules (CPR) Committee. That committee has accepted the challenge and now produced rules to govern costs capping (See r 9 et seq Civil Procedure (Amendment No.3) Rules 2008—applicable from 6 April 2009), introducing a new CPR 44.18–20).

Costs capping orders will only apply to “future costs”. By r 44.18(2) future costs are defined as costs incurred in respect of work done after the date of the costs capping order but excluding the amount of any additional liability. Two important elements come out of this definition. First there can be no attempt to reduce costs already incurred, in other words the order cannot be retrospective. Thus the new rule mirrors cases such

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

Shakespeare Martineau—David Vaughan

Shakespeare Martineau—David Vaughan

Shakespeare Martineau appoints new London office head as firm continues investment in capital

Browne Jacobson—Kevin Moore

Browne Jacobson—Kevin Moore

Browne Jacobson strengthens All-Island life sciences platform with appointment of leading Galway MedTech lawyer

Clarke Willmott—Latitude Law

Clarke Willmott—Latitude Law

National law firm strengthens commercial offering with acquisition of leading immigration practice

NEWS
Mr Justice Nicklin’s decision to order costs on an indemnity basis may be a ‘significant win’ but it’s still ‘far from game, set and match’ for Associated Newspapers, a former costs judge has said
The Law Society RFC Festival of Sport returns next month, bringing together legal and financial services professionals for one of the sector’s largest annual sporting events
Legal aid deserts leave almost one in four without adequate access to justice
The Solicitors Regulation Authority (SRA) has warned solicitors and law firms that using artificial intelligence does not alter their professional obligations, amid concerns over inaccurate legal material and client confidentiality
Can a meticulously maintained spreadsheet turn a couple’s informal financial arrangements into legally enforceable obligations? 
back-to-top-scroll