Dominic Regan predicts that Coventry v Lawrence heralds more bad news for litigators
Nineteen days. That is how long the litigation truce lasted. Denton, handed down on 4 July, restored some semblance of litigation order. On 23 July the Supreme Court gave judgment in Coventry v Lawrence and in so doing raised an issue worth potentially billions of pounds to the legal profession (see Denton v TH White Ltd; Decadent Vapours Ltd v Bevan; Utilise TDS Ltd v Davies [2014] EWCA Civ 906 and Coventry and others v Lawrence and another (No 2 ) [2014] UKSC 46). Lord Neuberger, president no less of the court, lobbed in an issue that has already been seized upon by paying parties—a point that could decimate solicitors, barristers and after-the-event (ATE) insurers. Very simply, the paying respondents contended that to require them to pay a success fee and an ATE premium would constitute a breach of Art 6 (the right to a fair trial) of the European Convention on Human rights (see para 38).
This liability would be on top of “highly regrettable” base costs of £400,000.