header-logo header-logo

Budget departures & the indemnity principle

17 September 2020 / David Cooper
Issue: 7903 / Categories: Features , Costs , Procedure & practice , Profession
printer mail-detail
27620
Got a good reason or not? David Cooper advises not to overlook the indemnity principle

In brief

  • Advising clients: certifying a budget and making the client aware of costs estimates.
  • Reasonable and proportionate costs: setting figures.
  • Costs judges: appraisal and evaluation.

Solicitors are required to advise clients about the costs in a case on a continuing basis. In a budgeted case, not only is there is a practical requirement to certify the budget, a solicitor must be satisfied that the client is aware of the costs estimate and has agreed to be responsible for the costs up until the conclusion of the case up to the amount of the budget. This is to ensure that any budget or bill presented does not breach the indemnity principle. The budget and the bill will contain a certificate to this effect. This is particularly important when considering whether a paying party may be able to demonstrate good reason for the court to depart from a budget.

Where a cost management order has been made the court can depart from

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

NLJ career profile: Liz McGrath KC

NLJ career profile: Liz McGrath KC

A good book, a glass of chilled Albarino, and being creative for pleasure help Liz McGrath balance the rigours of complex bundles and being Head of Chambers

Burges Salmon—Matthew Hancock-Jones

Burges Salmon—Matthew Hancock-Jones

Firm welcomes director in its financial services financial regulatory team

Gateley Legal—Sam Meiklejohn

Gateley Legal—Sam Meiklejohn

Partner appointment in firm’s equity capital markets team

NEWS

Walkers and runners will take in some of London’s finest views at the 16th annual charity event

Law school partners with charity to give free assistance to litigants in need

Could the Labour government usher in a new era for digital assets, ask Keith Oliver, head of international, and Amalia Neenan FitzGerald, associate, Peters & Peters, in this week’s NLJ

An extra bit is being added to case citations to show the pecking order of the judges concerned. Former district judge Stephen Gold has the details, in his ‘Civil way’ column in this week’s NLJ

The Labour government’s position on alternative dispute resolution (ADR) is not yet clear

back-to-top-scroll