16 Interim payments

Question 1

What two key words come to mind when you think interim payment?

Answer 1

WOULD OBTAIN

…

SUBSTANTIAL AMOUNT

Question 2

When can an application for IP be made?

Answer 2

After the time for filing AOS has passed

Question 3

What are the conditions that need to be satisfied for the court to grant an IP? (5)

Answer 3

Any one of:
• D has admitted liability to pay
• C already has judgement but damages are yet to be assessed
• the court is satisfied that if the claim went to trial C WOULD OBTAIN JUDGMENT FOR A SUBSTANTIAL AMOUNT AGAINST D (whether multiple or not)
• C wants an order for occupation of property and D would owe C money

• in a case with multiple defendants, if SUB/AM is satisfied and D is insured, MIB will meet their liability or D is a public body

Question 4

What are the restrictions on disclosure of an IP?

Answer 4

Unless the defendant agrees, an IP is not to be disclosed to a trial judge unless all questions of liability and quantum have been decided

Question 5

What is the notice period of an IP?

Answer 5

Once the court has set a date for the hearing, R must be give 14 clear days notice of the date fixed and told what issues court will be dealing with. The application notice needs to be served 4 days before.

At least 7 days before the hearing, R needs to serve Written Evidence on A

At least 3 days before A needs to serve Evidence in Reply

Question 6

What evidence is needed for an IP application? (8) PD 25B paragraph 2

Answer 6

1. Amount sought
2. Items amount relates to
3. Likely amount of final judgement
4. Evidence that one of the grounds are satisfied
5. Other relevant matters
6. If PI details on special damages and past and future losses
7. If fatal accidents, the details of the person the claim is made on behalf of and nature of the claim

Exhibit any relevant documents such as medical reports

Question 7

The order must not be for an interim payment more than…

Answer 7

a reasonable proportion of the likely amount

Question 8

When granting an IP, the court must take into account…

Answer 8

Any likely contributory negligence, set off or counterclaim

Question 9

An interim payment can be made…

Answer 9

In instalments or one lump sum

Question 10

How may the court adjust an order?

Answer 10

The court may order that the order be:
• repaid in whole or in part
• varied or discharged
• order the defendant to reimburse other defendants

Question 11

What can a court do if a the final award the claimant receives at trial is less than the IP?

Answer 11

Order interests on the overpayment to be paid to the defendant