“[3] The Claimant’s application dated4 March 2010 seeks relief from sanctions, should relief be required, for a failure to give notice of the two previous CFAs, ie those with Collyer Bristow and Wallace LLP. … If relief is required, I ask for it primarily on the basis that when serving Notice of the CFA, as I did on both Defendants on4 February 2008 , my understanding of the rules was that I needed to give notice only of the extant CFA, ie that dated29 November 2006 between the First Claimant and Irvine & Partners. The two previous CFAs with Collyer Bristow and Wallace LLP, having come to an end, I concluded that there was no requirement to give separate notice of them.”
“A party who seeks to recover an additional liability must provide information about the funding arrangement to the Court and to the other parties as required by a rule, practice direction or Court order.”
“[1] A party may not recover as an additional liability – … (c) any additional liability for any period in the proceedings during which he failed to provide information about a funding arrangement in accordance with a rule, practice direction or Court order; …”
“I agree that relief and sanctions should not be granted lightly and any party who fails to comply with CPR runs a significant risk that he will be refused relief. Thus, if a party does not have a good explanation, or the other side is prejudiced by his failure, relief from sanctions will usually be refused. It is vitally important to the administration of justice that the rules of procedure are observed.”
“It is difficult for us to give you an accurate estimate of costs, both because we are not the only firm to advise the Claimant under a CFA, and because preparations for trial are continuing apace, with a result that costs are continuing to increase rapidly. However, as at today’s date, the base cost of this firm total approximately£25,000 plus Counsel’s fees of£13,800 plus VAT and other disbursements, principally Court fees. Counsel is also acting under a CFA. In addition, there must be added the premium for the ATE policy acquired before the institution of proceedings. The cost of the policy depends largely on the time in the action at which settlement is achieved or judgment obtained.”
“As we believe you are aware, our client has the benefit of ATE cover. This policy is effected with QBE Insurance (Europe) Ltd. It is a staged premium policy. One premium was payable after the institution of proceedings, but if the claim settles no more than 60 days before the date listed for the commencement of the trial. A higher premium is payable if the claim is settled 60 days or less before the beginning of the trial.”