QUEEN'S BENCH DIVISION
Strand, London, WC2A 2LL |
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B e f o r e :
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MARTIN JOHN COWARD |
Claimant |
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- and - |
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ALLAN MARK HARRADEN |
Defendant |
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Richard Spearman QC & Justin Rushbrooke (instructed by Carter Ruck) for the First Intervener
Mark Warby QC (instructed by Bird and Bird) for the Second Intervener
Hearing dates: 16 November 2011
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Crown Copyright ©
Mr Justice Tugendhat :
"Issues of costs as between the Claimant and Elena Ambrosiadou and IKOS Asset Management Limited are reserved to be heard at a hearing before Sharp J on a date to be fixed if not agreed in advance".
THE LAW ON PUBLICATION OF JUDGMENTS
"The need for public justice, which has now been statutorily recognised, is that it removes the possibility of arbitrariness in the administration of justice, so that in effect the public would have the opportunity of 'judging the judges:' by sitting in public, the judges are themselves accountable and on trial. … The opposite of public justice is of course the administration of justice in private and in secret, behind closed doors, hidden from the view of the public and the press and sheltered from public accountability.,…"
"What has happened since the order has been made strongly suggests that it would have been preferable to have given all the directions which were made on 10 October in open court, together with a judgment explaining why they were made, so that it would not have been necessary for the legal advisers to communicate with the media in order to explain what had happened."
"(e) it is a hearing of an application made without notice and it would be unjust to any respondent for there to be a public hearing".
SUBMISSIONS
SUMMARY ASSESSMENT OF COSTS
"3. The requirement of proportionality now applies to decisions as to whether an order for costs should be made and to the assessment of the costs which should be paid when an order has been made. Part 44.3 which deals with the making of an order for costs does not specifically use the word proportionate but the considerations which should be taken into account when making an order for costs are redolent of proportionality. …
8. The new requirement of proportionality, which is in mandatory and unqualified terms in Part 44.4(2), is important in itself, since it should discourage parties from incurring disproportionate costs as those costs will not be recoverable unless an indemnity order is made. This restriction on costs should encourage parties to conduct litigation in a proportionate manner, which is an important objective of the CPR. …"
44.3(1) The court has discretion as to –
(a) whether costs are payable by one party to another;
(b) the amount of those costs; ….
(2) If the court decides to make an order about costs –
(a) the general rule is that the unsuccessful party will be ordered to pay the costs of the successful party; but
(b) the court may make a different order....
(4) In deciding what order (if any) to make about costs, the court must have regard to all the circumstances, including –
(a) the conduct of all the parties; …
(c) any payment into court or admissible offer to settle made by a party which is drawn to the court's attention, and which is not an offer to which costs consequences under Part 36 apply.
(5) The conduct of the parties includes –
(a) conduct before, as well as during, the proceedings …;
(b) whether it was reasonable for a party to raise, pursue or contest a particular allegation or issue;
(c) the manner in which a party has pursued or defended his case or a particular allegation or issue; and
(d) whether a claimant who has succeeded in his claim, in whole or in part, exaggerated his claim….
44.7 Where the court orders a party to pay costs to another party (other than fixed costs) it may either –
(a) make a summary assessment of the costs; or
(b) order detailed assessment of the costs by a costs officer,
unless any rule, practice direction or other enactment provides otherwise.
(The Costs Practice Direction sets out the factors which will affect the court's decision under this rule)
13.2 The general rule is that the court should make a summary assessment of the costs:...
(2) at the conclusion of any other hearing, which has lasted not more than one day, in which case the order will deal with the costs of the application or matter to which the hearing related. If this hearing disposes of the claim, the order may deal with the costs of the whole claim;…
unless there is good reason not to do so e.g. where the paying party shows substantial grounds for disputing the sum claimed for costs that cannot be dealt with summarily or there is insufficient time to carry out a summary assessment. …
13.5 (1) It is the duty of the parties and their legal representatives to assist the judge in making a summary assessment of costs in any case to which paragraph 13.2 above applies, in accordance with the following paragraphs.
(2) Each party who intends to claim costs must prepare a written statement of those costs showing separately in the form of a schedule: …[setting out the hours etc claimed]
13.6 The failure by a party, without reasonable excuse, to comply with the foregoing paragraphs will be taken into account by the court in deciding what order to make about the costs of the claim, hearing or application, and about the costs of any further hearing or detailed assessment hearing that may be necessary as a result of that failure….
13.13 The court will not give its approval to disproportionate and unreasonable costs. Accordingly: …
(b) If the judge is to make an order which is not by consent, the judge will, so far as possible, ensure that the final figure is not disproportionate and/or unreasonable having regard to Part 1 of the CPR. The judge will retain this responsibility notwithstanding the absence of challenge to individual items in the make-up of the figure sought. The fact that the paying party is not disputing the amount of costs can however be taken as some indication that the amount is proportionate and reasonable. The judge will therefore intervene only if satisfied that the costs are so disproportionate that it is right to do so.
"…. it is very important for the judge to take a global view of the proportionality of the costs incurred but, before he fixes a figure for costs, he must advance from that to an item by item consideration of the individual elements of the bill by way of a summary assessment or alternatively, he must direct a detailed assessment which will fulfil that task".
DISCUSSION
CONCLUSION