header-logo header-logo

Judging costs

27 May 2010 / Virginia Rylatt
Issue: 7419 / Categories: Features , Procedure & practice , Costs
printer mail-detail

Virginia Rylatt considers the lessons learnt from Mastercigars v Withers LLP

Costs judges dealing with estimates should have one’s sympathy. Instead of the “15% rule” that was habitually applied pursuant to the apparently sacrosanct principles which did not in fact derive from Wong v Vizards [1997] 2 Costs LR 46 we have two judgments of Morgan J dated 23 November 2007 [2007] EWHC 2733 (Ch), [2008] 3 All ER 417 and 30 March 2009 [2009] EWHC 651 (Ch), [2009] 1 WLR 881 and the Court of Appeal’s judgment of 7 December 2009 [2009] EWCA Civ 1526 to consider.

In between the first and second judgments of Morgan J, Withers LLP’s 11 bills were assessed by Costs Judge Simons at 78.4% of the costs as billed by Withers to its ex-client Mastercigars Direct Ltd—except that those costs covering the six-week period of the estimate were calculated being “capped” at the value of the estimate plus 20% pursuant to the judgment of Costs Judge Simons dated 11 July 2008. Withers appealed that decision. Morgan J acceded to

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