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19 Cards in this Set
- Front
- Back
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When the judge gives his award, there are 3 parts to it. What are they? |
1. Damages 2. Interest on damages (@ 8% according to Senior Courts Act) 3. Costs - on the standard basis |
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When the judge awards costs is applying penalties for the rejection of a Part 36 offer - what are the Five parts to the award? |
1. Damages 2. Percentage of damages (10% of damages up to £500'000 OR 5% of damages above £500'000 plus the 10% of damages upto £500'000) 3. Interest on damages (@ 10% above base rate as opposed to 8%) 4. Costs - on the indemnity basis 5. Percentage of costs (at max of 10%, but usually will be 4% above base rate) |
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Will the 'interest on damages' be based on all of or part of the damages? And, when will it run from? |
It can be either It will run from the day after the expiry of the acceptance period (so day 22) |
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It is tactically more advantageous to get a part 36 offer in as early as possible. True or false And why? |
True Because the longer the period between the expiry of the acceptance period of the offer and trial the higher the cost fees and interest So the earlier the offer is made, the more pressure for other side to accept |
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What happens if a part 36 offer is rejected - but at trial the award is les than the offer? |
Nothing Normal 3 part award is issued: Damages Interest - at 8% above base rate Costs - on the standard basis |
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When a part 36 offer is rejected and a costs penalty is awarded: Are the costs awarded on the indemnity basis for the whole period running from claimants instruction of their solicitor to end of trial? |
No Costs will be awarded on the standard basis from instruction to day after expiry of the acceptance period Then from day 22 (ie day after expiry) to end of trial = on the indemnity basis |
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When costs are awarded usually, ie no involvement of a Part 36 offer, or part 36 offer made and rejected but award is less.. Are costs awarded on the standard basis from instruction to end of trial? |
Yes |
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What happens in the case that the Defendant makes a part 36 offer and the claimant rejects it and fails to beat that offer at trial? |
If the claimant EQUALS or gets lowers than the part 36 offer, they will be penalised in costs So they will get: Damages Interest - @ 8 % above base rate Costs awarded up to the day of expiry But, from day 22 (day after expiry period) the claimant will be ordered to pay BOTH their own costs and that of the defendants from day 2 to end of trial Note: if the def made their part 36 early, these penalties could be substantial - especially if they include trial |
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If the def makes a part 36 which is rejected by claimant, and claimant either equals or gets less than offer (resulting in claimant receiving cost penalty) Will cost be ordered on a standard basis or indemnity basis? |
Standard. |
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Again, in the same example of the def making a part 36 and the claimant rejecting it - the claimant will be penalised in costs. Will they also have to pay interest on these costs (ie pay interest on the defendants costs from day 22)? |
Yes They will pay: 1. The defendants costs from day 22 2. Interest on these costs on the standard basis 3. They also pay their own costs from day 22 |
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Again, in the same example of the def making a part 36 and the claimant rejecting it - the claimant will be penalised in costs. What happens in this case if the claimant rejects the offer and actually loses the case? |
The normal rule: loser pays twice applies So claimant will pay: Their own costs The defendants cost AND: In order to penalise the claimant for not accepting the part 36, they will also be ordered to pay interest at 1-2% above the base rate on the defs costs. |
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If the Defendant makes a part 36 offer and the claimant accepts it, how long does the def have to pay the sum after acceptance? |
14 days (or on an agreed date) |
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If def makes a part 36 offer that is accepted, but costs cannot be agreed upon between the parties. How will costs be decided? |
They will be assessed by the court. |
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In the case that a claimants part 36 is rejected, and they are awarded more at trial (so def is penalised) Is interest on damages awarded at the higher rate 10% above base rate, from the beginning of claim until end of trial? |
No From the beginning of claim to day 21 (ie expiry of acceptance period) the interest on damages will be awarded at the 8% above base rate as per the particulars But from day 22, it will be at 10% above base rate |
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Compensation Recovery Unit (CRU) : In the case of personal injury cases, if the claimant successfully sues the def: What role does the CRU play in terms of the award? And whose responsibility is it to inform them of the case? |
1. The CRU is part of work and pensions and they have a responsibility to claim back any money for benefits that the claimant may have received as a result of their injuries. This is so that the claimant is not compensated twice for their injury 2. It is the defendants responsibility to inform the CRU of the case and then the CRU will issue a certificate to the def stating how much of the compensation they will be claiming back - and the def pays them directly |
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In a personal injury claim, in which the claimant claimed a benefit for the injury, if the Defendant makes a part 36 offer, what three things must the offer clearly state? |
1. Gross amount of the offer 2. Amount being deducted to go back to CRU 3. Net amount after that deduction |
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If the Defendant makes a part 36 offer which the claimant accepts, but then the Defendant fails to pay within 14 days - what can the claimant then do? |
The claimant can enter judgement against the def |
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At what point in a case would a judge be informed of a Part 36 offer? |
Once the issues of quantum and liability have been decided. |
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What is quantum? And what is liability? |
Quantum means the value of the claim Liability is just that, ie is the defendant liable? |
