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Stephen Lawson – APIL Secretary
Jackson Reaction Stephen Lawson – APIL Secretary
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109 Recommendations
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APIL Cornerstones of the System
Equal access to justice for all. Polluter Pays Public Confidence Full Redress Freedom of Choice
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APIL Concern – Separating out PI from Civil Litigation
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“It is not the function of this costs review to tinker with parts of the Civil Justice System which are thought to be working well and where costs are usually proportionate” p274
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“…high degree of satisfaction with the service provided by the Commercial Court to Court users”
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Interview Building Magazine 2005
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“How would you respond to Court users who complain about the time and money spent on litigation”
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“Litigation in the TCC is bound to take time and is bound to be costly if the Judge is going to arrive at a just decision”
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Three Rivers v Bank England 2006. Opening speech for Claimant 86 days
Opening speech for Defendant 119 day Claimant’s Legal Costs = £38 million
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Mr Justice Tomlinson: “I warned the Lord Chief Justice that I feared that the case had capacity to damage the reputation of our legal system”
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Malmesbury v Strutt and Parker 2008 Damages £915,139. 00 Costs £5
Malmesbury v Strutt and Parker Damages £915, Costs £5.38 million
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Multiplex v Cleveland Mr Justice Jackson: “At the end of March, both parties bicycled over the edge of the precipice and plunged into the abyss”
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“Costs were escalating
“Costs were escalating. Huge amounts of management time were being deployed to no useful purpose. Neither party was going to escape from the abyss with any financial benefit.”
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Get your tanks off our lawn!!
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Not now dear!!
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Let low value Claims Process settle down
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But
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“The level of general damages for personal injuries… should be increased by 10%”
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Law Commission Report 257 - 1999
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“Damages for non-pecuniary loss (over £3,000
“Damages for non-pecuniary loss (over £3,000.00) should be increased by at least 50%”
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“Carver v BAA should be reversed”
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“Where a Defendant rejects a Claimant’s offer but fails to do better at trial, the Claimant’s recovery should be enhanced by 10%”
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“One Defendant Solicitor explained that too many insurers only make “colossus” offers which are too low “ p218
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“The payment of referral fees for PI claims should be banned”
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“… or capped at a modest figure which I suggest should be £200.00”
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“it is offensive and wrong in principle for PI Claimants to be treated as a commodity”
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LSB Research May 2010
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“There was no evidence that referral fees in PI cases are causing consumer detriment”
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One good case = £800.00
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One good case = £200.00 Three bad cases = £200.00
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One way Cost Shifting
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“Costs ordered against a Claimant shall not exceed the amount (if any) which is a reasonable one for him to pay, having regard to all of the circumstances. Including…
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Financial resources of the Parties
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Conduct
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Uncertainty
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“It’s a try on”
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Abolition of recovery of Success Fees
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“Presents an opportunity to cherry pick”
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“Presents an opportunity to make excessive profits”
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Analysed all cases concluded between May 07 and Feb 09
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General Damages increase £11,532.00
Loss Success Fees £58,664.00
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“PI Solicitors will be able to advertise the success fees they will charge”
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“In my view, that disproportionate element of the costs cannot be saved even if the individual items within it were both reasonable and necessary” p37
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“I recommend that recoverable costs of cases in the fast track be fixed”
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“I recommend that the same fixed costs regime should apply when costs are recoverable by Defendants”
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No Fixed Costs No Fixed Process
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Insurer letter 22-10-08 “We thank you for your recent letter of claim
Insurer letter “We thank you for your recent letter of claim.. We will provide our decision on liability within the time limit laid down in the Protocol”
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Issue Proceedings
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Defence
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“No admissions whether Claimant sustained an injury whether as alleged or at all”
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“It is denied the Defendant was negligent”
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“It is denied that the Defendant was in breach of statutory duty”
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“It is denied that any such negligence caused or contributed to the Claimant’s alleged injury”
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“The Injury was not foreseeable”
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“The Schedule of Special Damages is not admitted – strict proof each head of loss”
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“The medical report is not admitted”
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Guideline hourly rate should be retained
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Injured person’s freedom to chose Solicitor
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Abrogation of indemnity principle
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Review of success fees for claims arising from Asbestos related disease
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Retention and full recovery of ATE premiums
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Access to Counsel to be retained and their fees recoverable as a disbursement
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Ongoing promotion of rehabilitation
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Sanction for non compliance with Protocols
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No implementation of damages based assessment tool
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Retention of the current small claims limit
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Slicker Court Process Pre-Action Disclosure Compliance with orders Better resourced Court
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“A Plea” Make the system work
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