header-logo header-logo

29 September 2016 / Patrick Allen
Issue: 7716 / Categories: Opinion , Procedure & practice , Costs , Jackson
printer mail-detail

A Nightmare on Claimant Street

Fixed costs are unfair and unjust to claimants, says Patrick Allen

Fixed costs for claims up to £250,000 will cause substantial disadvantage to individuals who bring claims and bring an undeserved windfall to insurers and corporate defendants.

The backers of fixed costs (including Lord Justice Jackson, the government and insurers) suggest that they will bring certainty to the system to make it proportionate and predictable.

But it is not so simple. Litigation is not a fair fight between equally resourced players but a war between two very unequal parties.

Statistics confirm that most claimants are individual citizens of modest means (the median gross earnings for all employees in 2014 was £22,044, pensioners, children and the disabled, who will also be claimants, earned much less) and the defendant is usually local or central government, the police, a large corporate body or an insured person. As a consequence, most defendants have the backing of considerable wealth and resources.

This is shown by the fact

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

Gardner Leader—Charlotte Botham & Belinda Sinnott

Gardner Leader—Charlotte Botham & Belinda Sinnott

Law firm strengthens real estate team with two new partners

DR Solicitors—Sarah Cook

DR Solicitors—Sarah Cook

DR Solicitors strengthens primary care expertise with appointment of legal director

Womble Bond Dickinson—David Varney

Womble Bond Dickinson—David Varney

Womble Bond Dickinson appoints David Varney to strengthen digital practice

NEWS
The Court of Appeal's decision in Mazur v Charles Russell Speechlys LLP has lifted months of uncertainty for Chartered Legal Executives while prompting a rethink of regulation and supervision
The assisted dying debate returns to Westminster as Lauren Edwards MP reintroduces legislation that stalled in the House of Lords last session despite clearing the Commons
A little-noticed provision of the Crime and Policing Act 2026 has fundamentally expanded corporate criminal liability
Artificial intelligence is transforming legal practice, but careless reliance on it is creating growing professional risks
The law offers cohabiting couples surprisingly greater protection after one partner dies than when they separate during life
back-to-top-scroll