Civil Litigation SGS 17 Funding and Costs

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billsykes
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209853
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Civil Litigation SGS 17 Funding and Costs
Updated:
2013-03-27 12:54:00
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Civil Litigation
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Civil Litigation
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  1. Who should pays the legal costs at the end of a trial?
    GENERAL RULE is that the loser pays the winners costs

    GOLDEN RULE is that the court has absolute discretion as to who and how much costs should be paid
  2. When exercising their discretion as to costs, what factors will the court take into account?
    Conduct  (before/during trial)

    Level of success

    Offers/payments made (not Part 36 Offers which have their own separate cost award)
  3. Camilla sues Davinder for damages for breach of contract. At the end of the fast track trial, the judge gives judgment in favour of Camilla.

    Which ONE of the following is CORRECT?

    [A] As the loser, Davinder will automatically be ordered to pay Camilla’s costs on the standard basis, to be assessed by summary or detailed assessment. 

    [B] As the loser, Davinder will automatically be ordered to pay Camilla’s costs on the indemnity basis, to be assessed by summary or detailed assessment. 

    [C] The general rule is that Davinder will be ordered to pay Camilla’s costs, but this is a matter of discretion for the court. The general rule is that the costs will be assessed by summary assessment.

    [D] The general rule is that Davinder will pay Camilla’s costs, but this is a matter of discretion for the court. The general rule is that costs will be assessed by detailed assessment.
    [C] The general rule is that Davinder will be ordered to pay Camilla’s costs, but this is a matter of discretion for the court. The general rule is that the costs will be assessed by summary assessment.

    [This is CORRECT. See CPR r.44 (3) (1) and (2) and PD44 Section 13.2 (1)]
  4. Stella was knocked down by Anish whilst crossing the road at night. Stella brought a claim for damages against Anish and the judge found him to be 50% responsible for the accident.

    Which ONE of the following statements is WRONG?

    [A] If Anish is ordered to pay costs on the standard basis, any doubts as to whether Stella’s costs were reasonably incurred will be resolved in favour of Stella. 

    [B] Stella’s conduct in the proceedings is a relevant factor in the court’s decision on costs.

    [C] The fact that Stella was only 50% successful is a relevant factor in the court’s decision on costs.

    [D] In deciding what order to make on costs, the court must have regard to any admissible offer to settle made by Anish, even if it was not made in accordance with Part 36.
    [A] If Anish is ordered to pay costs on the standard basis, any doubts as to whether Stella’s costs were reasonably incurred will be resolved in favour of Stella.

    [This answer is WRONG and is therefore the CORRECT answer. See CPR r.44.4 (2) (b) - any doubt (as to whether Stella’s costs were reasonably incurred) is resolved in favour of the paying party on the standard basis i.e. Anish].
  5. Which ONE of the following is the CORRECT description of a ‘Bullock’ order?

    [A] That the unsuccessful defendant pays the successful defendant’s costs direct to the successful defendant.

    [B] That the claimant pays the costs of the successful defendant and recovers these costs from the unsuccessful defendant in addition to the claimant's’ costs in respect of the claim against the unsuccessful defendant.

    [C] That the claimant pays the costs of the successful defendant but recovers the costs of their claim against the unsuccessful defendant from the unsuccessful defendant. 

    [D] That the claimant pays the costs of both defendants but recovers their own costs from the unsuccessful defendant.
    [B] That the claimant pays the costs of the successful defendant and recovers these costs from the unsuccessful defendant in addition to the claimant's’ costs in respect of the claim against the unsuccessful defendant.

    [This is CORRECT. See Bullock v London General Omnibus Company [1907] 1KB 264 and Sime at 43.53 onwards]
  6. Last year Anil suffered loss caused by Gladbury Transport Ltd. Anil was granted public funding, without a contribution, to sue Gladbury Transport Ltd for damages. Anil wishes to know whether he will have to pay for the costs of the case. Which ONE of the following is CORRECT?

    [A] Anil will have to pay his legal costs if he wins and must pay all Gladbury’s costs if he loses.

    [B] If he wins, the Legal Services Commission will have the right to recover its costs out of the damages if costs are not fully recovered from Gladbury. If he loses, he will only be ordered to pay a reasonable amount of Gladbury’s costs, having regard to his financial resources and his conduct in connection with the dispute.

    [C] If he wins, the Legal Services Commission will have the right to recover its costs out of the damages if costs are not fully recovered from Gladbury. If he loses, he will not be ordered to pay Gladbury’s costs in any circumstances. 

    [D] If he wins, he can recover his costs from the Legal Services Commission if he would otherwise suffer financial hardship. If he loses, he will only be ordered to pay a reasonable amount of Gladbury’s costs, having regard to his resources and his conduct in connection with the dispute.
    [B] If he wins, the Legal Services Commission will have the right to recover its costs out of the damages if costs are not fully recovered from Gladbury. If he loses, he will only be ordered to pay a reasonable amount of Gladbury’s costs, having regard to his financial resources and his conduct in connection with the dispute.

    [This is CORRECT. See s.11 AJA 1999 and S.10 (7) AJA 1999 regarding the statutory charge. Also, you should please note and consider Sime at 4.40 onwards]
  7. You are asked if you will represent Tom in his claim for damages for breach of contract. Which of the following is/are CORRECT?

    i) An agreement that you will only be paid your fee if you win, but the fee will include a 25% uplift beyond your normal fee is permissible.

    ii) An oral agreement that you will only be paid your fee if you win, but the fee will include a 125% uplift beyond your normal fee is permissible.

    iii) An agreement that you will only be paid if you win, and your fee will be 25% of the damages won by Tom is permissible.

    iv) An agreement that you will only be paid if you win, and your fee will be your normal fee plus uplifts depending on the size of the damages won by Tom is permissible.

    Select ONE of the following statements

    [A] i) and iii) only

    [B] i) only

    [C] i) and iv) only

    [D] i), ii), iii) and iv)
    [B] i) only

    [This is CORRECT. You should please note and consider Sime at 4.14 to 4.20 and explanation at [A] above and [C] and [D] below]
  8. Charlie sues Sophia for damages for breach of contract. At the end of an interim application the District Judge orders “No order as to costs”. Charlie, your client, asks you to explain what this means.

    Which ONE of the following is CORRECT?

    [A] The decision about costs is deferred, but if no later order is made, the costs will be costs in the case. 

    [B] Neither party has to pay their legal advisers’ costs. 

    [C] Both parties have to bear their own costs of the application, but only if the matter settles before trial.

    [D] Both parties have to bear their own costs of the application, whatever costs order is made at the end of the proceedings.
    [D] Both parties have to bear their own costs of the application, whatever costs order is made at the end of the proceedings.

    [This is CORRECT. See PD 44 section 8.5 and the final row of the table in this section].
  9. Margo has sought advice in relation to a dispute which she has with her former neighbours, Tom and Barbara. For the last four years Tom and Barbara have kept keep chickens, a goat and pigs in their garden which is in a residential area. The pigs escaped on a number of occasions and caused damage to Margo’s fencing which had to be replaced at a cost of £750. Margo describes the smell of the animals as unbearable and as a result she sold her property and moved out 18 months ago. She claims that the nuisance caused by the presence, noise and smells of the animals devalued her property by £10,000. She wishes to claim damages for the nuisance.

    Which ONE of the following statements is CORRECT?

    [A] Margo cannot recover the cost of repairing the fence as this is property damage and not sensible personal discomfort.

    [B] Margo cannot obtain damages as she did not seek an injunction first.

    [C] Margo cannot bring a claim in nuisance as she is outside the limitation period.

    [D] Margo can potentially claim damages for the damaged fence and the £10,000 diminution in value.
    [D] Margo can potentially claim damages for the damaged fence and the £10,000 diminution in value.

    [This is correct and therefore the CORRECT answer. Both are potentially recoverable as reflecting physical damage and the loss of amenity value of the land.]

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