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Winning at what cost?

22 July 2010 / Karen O’Sullivan
Issue: 7427 / Categories: Features , LexisPSL
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Karen O’Sullivan on the lessons to be learned from two important appeals

Where are we now when it comes to costs awards following Pt 36 offers, especially those that are almost or only just beaten? The Court of Appeal re-visited Carver v BAA [2008] EWCA Civ 412, [2008] All ER (D) 295 for the first time, in two appeals heard together: Gibbon v Manchester City Council and LG Blower v Reeves [2010] EWCA Civ 726, [2010] All ER (D) 218 (Jun).
Although still binding, Carver did not come out of the judgment well. Only Gibbon was a personal injury claim but both cases have useful lessons to teach us.

Part 36 means what it says: follow the rules

Although CPR Pt 36 is an entirely optional method of resolving disputes, it is a self-contained code that must be followed if parties want the benefits it confers. While it draws plenty of inspiration from common law contract rules, it does not incorporate those rules.

The Court of Appeal said you should not have to be

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