Richard Scorer on the battle to secure effective interim damages payments
In compensation claims for serious head and spinal injuries, the claimant’s solicitor will often try to secure an early interim payment of damages under CPR 25 to fund the costs of care and/or suitably adapted accommodation. Waiting several years until the end of the case before proper care is put in place can be very detrimental to the claimant.
Conversely, defendant insurers often want to resist making a substantial interim payment. Defendants argue that if the claimant secures a large interim payment and uses it to purchase a property and establish a care regime, it can be difficult at a subsequent trial for the defendant to effectively challenge the property and care package after the event.
Interim payments
CPR 25 empowers the court to award an interim payment where the claimant has obtained interlocutory judgment, or where the claimant would obtain judgment for a substantial sum from the defendant if the action went to trial. However, CPR 25.7 (4) provides that
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