DR Part 36 - Costs Flashcards
BEFORE TRIAL
What happens with costs where a Part 36 offer is made by the either party and accepted before a trial has begun?
If the acceptance is given within the ‘relevant period’
No effect
BEFORE TRIAL
What happens with costs where a Part 36 offer is made by the defendant to the claimant and accepted by the claimant before a trial has begun?
If the acceptance is given by the claimant after the ‘relevant period’
D owes C’s costs up to the end of the RP (as normal)
THEN
C owes D’s costs for the end of the RP to acceptance
(C should have accepted D’s offer within the relevant period and so is being punished)
CLAIMANT OFFER
What happens with costs where a Part 36 offer is made by the claimant to the defendant and not accepted by the defendant
AND
The Claimant is successful at trial and awarded an amount equal to or greater than the offer made?
FROM THE END OF THE RELEVANT PERIOD
The Court has discretion to award the claimant:
- additional damages of 10% for damages up to £500k
- additional damages of 5% for damages over £500k
- Up to a maximum of £75,000
- interest on damages until judgement
AND
- from the expiry of the relevant period pay the claimant’s costs on the indemnity basis and pay interest on those costs.
Interest is chargeable at an amount not more than 10% above base rate
CLAIMANT OFFER
What happens with costs where a Part 36 offer is made by the claimant to the defendant and not accepted by the defendant
AND
The Claimant is successful at trial but awarded an amount less than the offer made?
The claimant’s Part 36 offer will have no effect
DEFENDANT OFFER
What happens with costs where a Part 36 offer is made by the defendant to the claimant and not accepted by the claimant
AND
The Defendant is successful at trial.
FROM THE END OF THE RELEVANT PERIOD
Defendant will win:
- Costs
- Interest on costs
BOTH OFFER
What happens where both parties have made an Part 36 offer
AND
the claimant is successful and the damages are in excess of the offer that the claimant made?
The claimant’s Part 36 offer will take effect.
BOTH OFFER
What happens where both parties have made an Part 36 offer
AND
the claimant is unsuccessful or the damages awarded are below the offer that the defendant made?
The defendant’s Part 36 offer will take effect.
BOTH OFFER
What happens where both parties have made an Part 36 offer
AND
the claimant wins less than their offer, but more than the defendant’s offer?
Neither Part 36 offer has an effect.
What happens with costs where a Part 36 offer is made less than 21 days before trial?
Court decides costs
What happens with costs where a Part 36 offer is made which relates to only part of the claim?
- If C accepts and abandons the rest of the claim, they will only get costs relating to the part accepted unless the court orders otherwise
- If C accepts and does not abandon the rest of the claim, the court will set costs unless the parties can agree.
CLAIMANT OFFER
What happens with costs where a Part 36 offer is made by the claimant to the defendant and not accepted by the defendant
AND
The Claimant is successful at trial and awarded an amount equal to or greater than the offer made?
AND
The amount won by the claimant is not damages?
FROM THE END OF THE RELEVANT PERIOD
The Court has discretion to award the claimant:
- additional damages of 10% for COSTS up to £500k
- additional damages of 5% for COSTS over £500k
- Up to a maximum of £75,000
- interest on damages until judgement
AND
- from the expiry of the relevant period pay the claimant’s costs on the indemnity basis and pay interest on those costs.
Interest is chargeable at an amount not more than 10% above base rate
DEFENDANT OFFER
What happens with costs where a Part 36 offer is made by the defendant to the claimant and not accepted by the claimant
AND
The Claimant is successful at trial and gets more than D’s offer.
The defendant’s part 36 offer will have no effect
DEFENDANT OFFER
What happens with costs where a Part 36 offer is made by the defendant to the claimant and not accepted by the claimant
AND
The Claimant is successful at trial and gets less than D’s offer.
FROM THE END OF THE RELEVANT PERIOD
Defendant will win:
- Costs
- Interest on costs
CLAIMANT OFFER
What happens with costs where a Part 36 offer is made by the claimant to the defendant and not accepted by the defendant
AND
The Defendant is successful at trial
The claimant’s Part 36 offer will have no effect
Does a Part 36 offer need to be shown to the court?
No - it is without prejudice save for costs
