Summary
Summary Civil Litigation - Costs Notes
Syllabus Notes on Costs in Civil Litigation, used in conjunction with The White Book 2020 from BPTC 2019/2020.
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Syllabus 21 CostsCPR: Part 44
44.1 Interpretation and application
Authorised court officer means any officer of—
(a) the County Court;
(b) a district registry;
(c) the Family Court;
(d) the High Court; or
(e) the Costs Office,
whom the Lord Chancellor has authorised to assess costs;
Conditional fee agreement = an agreement enforceable under s58 Courts and Legal Services
Act 1990;
COSTS= fees, charges, disbursements, expenses, remuneration, reimbursement allowed to a
litigant in person under rule 46.5 and any fee or reward charged by a lay representative for
acting on behalf of a party in proceedings allocated to the small claims track;
COST JUDGE= taxing master of the Senior Courts;
COSTS OFFICE= the Senior Courts Costs Office;
COSTS OFFICER means—
(a) a costs judge;
(b) a District Judge; or
(c) an authorised court officer;
DETAILED ASSESSMENT= the procedure by which the amount of costs is decided by a costs
officer in accordance with Part 47;
THE DIRECTOR (LEGAL AID) = the person designated as the Director of Legal Aid Casework
pursuant to s.4 LASPOA 2012, or a person entitled to exercise the functions of the Director;
FIXED COSTS= costs the amounts of which are fixed by these rules whether or not the court
has a discretion to allow some other or no amount, and include—
(a) the amounts which are to be allowed in respect of legal representatives’ charges in the
circumstances set out in Section I of Part 45;
(b) fixed recoverable costs calculated in accordance with rule 45.11;
(c) the additional costs allowed by rule 45.18;
(d) fixed costs determined under rule 45.21;
(e) costs fixed by r45.37 and 45.38;
FREE OF CHARGE= has the same meaning as in section 194(10) of the 2007 Act;
FUND= includes any estate or property held for the benefit of any person or class of person
and any fund to which a trustee or personal representative is entitled in that capacity;
HMRC= HM Revenue and Customs;
LEGAL AID= means civil legal services made available under arrangements made for the
purposes of Part 1 of the Legal Aid, Sentencing and Punishment of Offenders Act 2012;
PAYING PARTY= a party liable to pay costs;
THE PRESCRIBED PARTY= has the same meaning as in s194(8) 2007 Act;
PRO BONO REPRESENTATION= legal representation provided free of charge;
RECEIVING PARTY= a party entitled to be paid costs;
SUMMARY ASSESSMENT= the procedure whereby costs are assessed by the judge who has
heard the case or application;
VAT= Value Added Tax;
THE 2007 ACT= the Legal Services Act 2007.
, Syllabus 21 Costs
The costs which Pts 44 to 47 apply, where those costs may be assessed by the court include
—
(a) Costs of proceedings before an arbitrator or umpire;
(b) Costs of proceedings before a tribunal or other statutory body; and
(c) Costs payable by a client to their legal representative; and
(d) Costs which are payable by one party to another party under the terms of a contract,
where the court makes an order for an assessment of those costs.
Where advocacy or litigation services are provided under a conditional fee agreement,
costs are recoverable under Parts 44-47 notwithstanding that the client is liable to pay the
legal representative’s fees and expenses only to the extent that sums are recovered in
respect of the proceedings, whether by way of costs or otherwise.
44.3 Basis of assessment
Where the court is to assess the amount of costs (whether by summary or detailed
assessment) it will assess those costs— on the standard basis; or indemnity basis, but the
court will not in either case allow costs which have been unreasonably incurred or are
unreasonable in amount.
Where the amount of costs is to be assessed on the standard basis, the court will—
(a) only allow costs which are proportionate to the matters in issue. Costs which are
disproportionate in amount may be disallowed or reduced even if they were reasonably
or necessarily incurred; and
(b) resolve any doubt which it may have as to whether costs were reasonably and
proportionately incurred or were reasonable and proportionate in amount in favour of
the paying party.
Where the amount of costs is to be assessed on the indemnity basis, the court will resolve
any doubt which it may have as to whether costs were reasonably incurred or were
reasonable in amount in favour of the receiving party.
Where the court makes an order— (a) about costs without indicating the basis on which
the costs are to be assessed; or (b) for costs to be assessed on a basis other than the
standard basis or the indemnity basis, the costs will be assessed on the standard basis.
Costs incurred are proportionate if they bear a reasonable relationship to—
(a) the sums in issue in the proceedings;
(b) the value of any non-monetary relief in issue in the proceedings;
(c) the complexity of the litigation;
(d) any additional work generated by the conduct of the paying party; and
(e) any wider factors involved in the proceedings, such as reputation or public importance.
Where the amount of a solicitor’s remuneration in respect of non-contentious business is
regulated by any general orders made under the Solicitors Act 1974, the amount of the
costs to be allowed in respect of any such business which falls to be assessed by the court
will be decided in accordance with those general orders rather than this rule and r44.4.
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