Changes to the recoverable costs of budgeting

Details of the 93rd update to the Civil Procedure Rules containing amendments to practice directions are available online. These were signed by authority of the Lord Chancellor on 21 November 2017 and are now in force. Notably this includes changes to Practice Direction 3E – costs management, at paragraph 7.2 specifically: “7.2 Save in exceptional … Continue reading Changes to the recoverable costs of budgeting

RNB – Permission to appeal granted

Permission to appeal the judgment of Master Campbell in the matter of RNB v London Borough of Newham, which confirmed that the reduction in hourly rates was enough of a ‘good reason’ to depart from an approved budget, has now been granted. Master Campbell originally outlined that it was unsatisfactory to allow a higher hourly … Continue reading RNB – Permission to appeal granted

Costs Budgeting – Tension between guidance note and Practice Direction

The recent judgment of Deputy Master McCloud, sitting as a Deputy Costs Judge in the SCCO, has sought to clarify the position regarding how costs relating to costs management should be presented, arising out of a tension between Practice Direction 3E and the MOJ Precedent H guidance note. The Practice Direction, at 3E B(6)(d) states … Continue reading Costs Budgeting – Tension between guidance note and Practice Direction

Departing from an approved Costs Budget; doesn’t EVERY matter have some form of ‘good reason’?

The Court of Appeal decision in Harrison v University Hospitals Coventry and Warwickshire NHS Trust [2017] EWCA Civ 792 held that where there is an approved costs budget, that figure will only be departed from if there is ‘good reason’ to do so. This is in line with CPR 3.18. The key question is then, … Continue reading Departing from an approved Costs Budget; doesn’t EVERY matter have some form of ‘good reason’?

No more cliffhangers…

Two recent cases have outlined how the Court should approach incurred costs in budgeting. In Harrison v University Hospitals Coventry & Warwickshire Hospital NHS Trust [2017] EWCA Civ 792, the Court of appeal confirmed that incurred costs do not form part of the budgeting process; these are to be dealt with at detailed assessment. They … Continue reading No more cliffhangers…