header-logo header-logo

A Nightmare on Claimant Street

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

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

Muckle LLP—Ella Johnson

Muckle LLP—Ella Johnson

Real estate dispute resolution team welcomes newly qualified solicitor

Morr & Co—Dennis Phillips

Morr & Co—Dennis Phillips

International private client team appoints expert in Spanish law

NLJ Career Profile: Stefan Borson, McCarthy Denning

NLJ Career Profile: Stefan Borson, McCarthy Denning

Stefan Borson, football finance expert head of sport at McCarthy Denning, discusses returning to the law digging into the stories behind the scenes

NEWS
Paper cyber-incident plans are useless once ransomware strikes, argues Jack Morris of Epiq in NLJ this week
In this week's NLJ, Robert Hargreaves and Lily Johnston of York St John University examine the Employment Rights Bill 2024–25, which abolishes the two-year qualifying period for unfair-dismissal claims
Writing in NLJ this week, Manvir Kaur Grewal of Corker Binning analyses the collapse of R v Óg Ó hAnnaidh, where a terrorism charge failed because prosecutors lacked statutory consent. The case, she argues, highlights how procedural safeguards—time limits, consent requirements and institutional checks—define lawful state power
Cryptocurrency is reshaping financial remedy cases, warns Robert Webster of Maguire Family Law in NLJ this week. Digital assets—concealable, volatile and hard to trace—are fuelling suspicions of hidden wealth, yet Form E still lacks a section for crypto-disclosure
NLJ columnist Stephen Gold surveys a flurry of procedural reforms in his latest 'Civil way' column
back-to-top-scroll