2. Sanctions Flashcards
When do sanctions not have effect?
Sanctions do not have effect if the defaulting party obtains relief from the sanction. This can occur when a party fails to comply with a rule, practice direction, or court order and then successfully applies and obtains relief from the sanction imposed.
How can the time for compliance specified in a rule, PD, or court order be extended?
The time for doing the act required by a rule, practice direction, or court order can only be extended by prior written agreement of the parties for a maximum of 28 days extension, subject to the court ordering otherwise, and provided that any extension does not put at risk any hearing date.
What is relief from sanctions?
Relief from sanctions involves the court’s discretion to alleviate the consequences of sanctions imposed for failure to comply with a rule, practice direction, or court order. The process is guided by the principle that sanctions have effect unless relief is granted, which aims to ensure that litigation is conducted efficiently and in compliance with rules.
What must accompany an application for relief from sanctions?
An application for relief from sanctions must be supported by evidence.
Summary of guidance given in Denton when dealing with an application for relief from sanctions
The guidance given in Denton for dealing with an application for relief from sanctions involves a three-stage test: (1) assessing the seriousness and significance of the breach, (2) considering why the default occurred, and (3) evaluating all the circumstances of the case so as to enable the court to deal justly with the application. This guidance emphasizes the importance of compliance and the need for courts to consider the efficiency and cost-effectiveness of litigation.
First stage of Denton guidance for dealing with an application for relief from sanctions
The first stage of the Denton guidance for relief from sanctions involves identifying and assessing the seriousness and significance of the failure to comply with any rule, practice direction, or court order. If the breach is neither serious nor significant, the court is unlikely to spend much time on the subsequent stages.
Second stage of Denton guidance for dealing with an application for relief from sanctions
The second stage of the Denton guidance involves consideration of why the default occurred. This includes examining whether the breach was due to factors outside the control of the party in default, such as a debilitating illness or an accident, or if there were changes in the litigation that made the original time for compliance unreasonable.
Third stage of Denton guidance for dealing with an application for relief from sanctions
The third stage of the Denton guidance involves evaluating all the circumstances of the case, including the need for litigation to be conducted efficiently and at proportionate cost, and to enforce compliance with rules, practice directions, and orders. This stage also considers the proportionality of the sanction to the breach, whether the application was made promptly, and the compliance record of the defaulting party.
Discouraging opportunism by non-defaulting party - (in context of relief from sanctions)
The court discourages opportunism by the non-defaulting party in the context of relief from sanctions. It penalizes parties who unreasonably oppose applications for relief or seek to take advantage of minor inadvertent errors by the defaulting party. Courts aim to prevent parties from obtaining a litigation advantage through others’ mistakes, emphasizing cooperation and reasonable extensions of time up to 28 days as envisaged by CPR 3.8(4).
Effect of Denton principles on applications to set aside default judgments
The Denton principles apply to applications to set aside default judgments, requiring the court to follow the three-stage test: assessing the breach’s seriousness, considering the reasons for the default, and evaluating all circumstances. This approach ensures that decisions are made justly and proportionately, considering the broader need for efficient litigation and rule compliance.
Effect of courts approach to setting aside default judgments following Jackson
Following the Jackson reforms, setting aside a Part 12 default judgment comes under the rules influenced by the Denton decision. This means that the court, after first considering the specific requirements under CPR r.13.3, applies the three-stage Denton test: assessing the seriousness of the breach, the reasons for the default, and all the circumstances of the case to determine if relief from sanctions is appropriate. This approach emphasizes the need for fairness and efficiency in litigation.
