Maximising Costs Recovery
Case Study: Claimant (Receiving Party)
We prepared a Bill of Costs for the Claimant and formally served the bill on the Defendant (the Paying Party). An initial offer was made by the Defendant, followed with a payment on account in that sum. The Claimant made a counteroffer including interest up to 21 days after the offer.
10% additional costs
Settlement was not agreed and the matter proceeded with Points of Dispute, Replies and a Provisional Assessment. The Bill was assessed by the Court, with the costs of the Assessment Proceedings to be dealt with. The Parties agreed a figure for the Bill and interest up to expiry of the date of the offer and it was found that costs, including interest as at the date of the offer, were agreed at a figure over the offer made by the Claimant.
As the Claimant’s own offer was beaten the parties agreed indemnity interest, plus an extra 10% of the costs as allowed.
Lowin v W Portsmouth Co Ltd
The Claimant wrote to the Court raising the case of High Court case of Lowin -v- W Portsmouth Co. Ltd (Unreported, 20 June 2016) and requested that, as the Claimant had beaten his own offer, the Assessment costs be assessed on the Indemnity Basis and that the £1,500 cap under the Civil Procedure Rules not be applied. The Court Assessed the costs at a figure for base costs in excess of the £1,500 cap and requested that the party file written arguments regarding the Success Fee to be applied. The parties agreed the Success Fee and the overall figure for Assessment costs.
= £6000 paid to the Receiving Party in additional Costs
Thus, overall the Claimant received £6000 more in costs that if the Part 36 offer had not been made.
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