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MoJ Extension & LJ Jackson’s Civil Costs Proposals Simon Johnson 14 May 2012
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MoJ – Key Proposals Eligible RTA claims - £10k > £25k EL and PL claims to be added to portal
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MoJ – Key Proposals Is the current scheme a success? Reduced cost:- Stage 1 - £400 Stage 2 -£800 Stage 3 - £500 Web portal a magnet for criminal activity? Are EL/PL claims suitable for the scheme? Disease/construction/product claims too?
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MoJ – Key Proposals Adjusting to Change Portal stability How long to investigate properly? Clinical negligence? No increase to fast-track limit Fast track – fixed recoverable costs Timescale
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MoJ – Key Proposals Helping policyholders adjust To ensure immediate notification Review KPIs for investigations Dedicated portal team? Impact of increased claims Increased operational costs
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In the beginning there was…
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Meet the new Costs Avengers
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Claimant Costs Schedule: Fast-Track
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How did we get to this? Lord Woolf’s Reforms Two key aims:- Reduce delay – a success Reduce cost – sadly, no
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How did we get to this? Escalation of costs driven by Access to Justice Act 1999
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How did we get to this?
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Key Proposals Success Fees/ATE premia – irrecoverable Success fees payable by client
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Key Proposals Success fees capped at of general damages
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Key Proposals Awards of general damages for PSLA to be increased by
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Key Proposals Referral fees abolished
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Key Proposals Fixed fees for fast-track personal injury cases Increased use of summary assessment Damages–Based Agreements (Contingency Fees)
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Key Proposals
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QOCS Qualified one-way costs Shifting C will not pay D’s costs if unsuccessful D will pay C’s costs if successful
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QOCS Interaction of QOCS with P36 CPR?
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QOCS Interaction of QOCS with P36 CPR? Remember C will lose 25% of general damages in the success fee
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QOCS Interaction of QOCS with P36 CPR? Remember C will lose 25% of general damages in the success fee BUT
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QOCS Interaction of QOCS with P36 CPR? Remember C will lose 25% of general damages in the success fee BUT Be assisted by:-
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QOCS Interaction of QOCS with P36 CPR? Remember C will lose 25% of general damages in the success fee BUT Be assisted by:- a) 10% uplift on general damages +
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QOCS Interaction of QOCS with P36 CPR? Remember C will lose 25% of general damages in the success fee BUT Be assisted by:- a) 10% uplift on general damages + b) Uplift of 10% on total damages if P36 offer effective (capped at £75,000)
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Can D ever recover their costs? C’s costs liability constrained by QOCS
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Can D ever recover their costs? C’s costs liability constrained by QOCS But if C recovers less than D’s P36 offer:-
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Can D ever recover their costs? C’s costs liability constrained by QOCS But if C recovers less than D’s P36 offer:- 1) D pays C pre-offer costs
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Can D ever recover their costs? C’s costs liability constrained by QOCS But if C recovers less than D’s P36 offer:- 1) D pays C pre-offer costs 2) C pays D post-offer costs
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Can D ever recover their costs? C’s costs liability constrained by QOCS But if C recovers less than D’s P36 offer:- 1) D pays C pre-offer costs 2) C pays D post-offer costs Caveat
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Can D ever recover their costs? C only ever pay D costs with regard to all the circumstances:- i) C’s financial resources ii) Parties’ conduct
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What conduct will make C lose costs protection?
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Back to Naomi…
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MGN Ltd v Campbell [2011] ECHR held that success fee breached MGN’s right to freedom of expression Back to Naomi…
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MGN Ltd v Campbell [2011] ECHR give LJ Jackson a shot in the arm. Access to justice (Art 6) must be balanced with freedom of speech (Art 10) Back to Naomi…
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The Legal Aid, Sentencing and Punishment of Offenders Bill
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Provisions not in the Bill (but which will be introduced)
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions not in the Bill (but which will be introduced) QOCS
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions not in the Bill (but which will be introduced) QOCS New proportionality Test
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions not in the Bill (but which will be introduced) QOCS New proportionality Test Increase in general damages by 10%
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions not in the Bill (but which will be introduced) QOCS New proportionality Test Increase in general damages by 10% Reversal of Carver (but see amendment to CPR 36.14)
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions in the Bill:-
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions in the Bill:- Abolition of CFA recovery from D
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions in the Bill:- Abolition of CFA recovery from D Abolition of ATE recovery from D (save for cost of expert in clinical negligence)
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions in the Bill:- Abolition of CFA recovery from D Abolition of ATE recovery from D (save for cost of expert in clinical negligence) Damages-Based Agreements in most civil litigation
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The Legal Aid, Sentencing and Punishment of Offenders Bill Provisions in the Bill:- Abolition of CFA recovery from D Abolition of ATE recovery from D (save for cost of expert in clinical negligence) Damages-Based Agreements in most civil litigation Payment of additional amounts if C matches or beats D’s offer to settle
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Will we see an end to this?
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Will this be the net effect?
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Assault
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Assaults – Violence between Staff
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Weddall v Barchester [2012] Request was a pretext for violence unconnected with his role. Assailant not acting in the course of his employment.
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Assaults – Violence between Staff Wallbank v Fox Designs [2012] The employer should bear vicarious liability. Spontaneous force in response to an instruction given to an employee.
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Mesothelioma Public Liability Insurer on cover 10 years before disease develops should respond.
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Mesothelioma – Employers’ Liability
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