0370 270 6000

already registered?

Please sign in with your existing account details.

need to register?

Register to access exclusive content, sign up to receive our updates and personalise your experience on brownejacobson.com.

Privacy statement - Terms and conditions

beware of leaving costs in settled cases to the court to decide

24 July 2014

The recent case of RG Spiller Ltd v Derhalli highlights the dangers of leaving the issue of costs to the court when the substantive issues have been resolved.

The claimant had previously sought and obtained a limited injunction against the defendant. The parties eventually settled and the consent order included a provision giving the parties liberty to apply if they were unable to agree costs. No agreement was reached and so the claimant applied for its costs asserting that, because it was the successful party, the usual costs order under CPR 44.2(2) should apply.

The judge commented that if parties settle all issues except costs, they take the risk that the court will not be prepared to make any determination other than no order as to costs. The judge considered that an injunction had been applied for prematurely as some notice should have been given. The court could take into account the behaviour of the parties and the appropriate order was therefore no order for costs.

So parties beware! Costs do not necessarily follow the event as the claimant failed to obtain its costs of the action and was also ordered to pay the costs of the costs application.

related opinions

Impact of Covid-19 upon level of fine

Two cases have considered the issue of Covid 19 as part of the sentencing exercise. In the most recent, failures by a principal contractor Modus Workspace, who design and refit refurbishments, led to a £1.1 million fine after an engineer was injured from a fall from a roof.

View blog

Important opportunity to comment on case law precedent

The UK government is considering extending this power to depart from retained EU case law to additional lower courts and tribunals, namely the Court of Appeal in England and Wales and the High Court of Justice in England and Wales and their equivalents.

View blog

Can an application to postpone a hearing be refused?

This case highlights the importance of Claimants obtaining their own medical evidence in such matters especially when it is pivotal to their claim.

View blog

A landlord’s promise, a tenant’s power

When it comes to leases, most people believe that landlords hold most of the power. However, in relation to long residential leases, the tables may well have recently turned in one respect at least following a recent Supreme Court decision.

View blog

mailing list sign up



Select which mailings you would like to receive from us.

Sign up