“7. As costs are in the discretion of the ET, appeals on costs alone rarely succeed in the EAT or in this court. The ET’s power to order costs is more sparingly exercised and is more circumscribed by the ET’s rules than that of the ordinary courts. There the general rule is that costs follow the event and the unsuccessful litigant normally has to foot the legal bill for the litigation. In the ET costs orders are the exception rather than the rule. In most cases the ET does not make any order for costs. If it does, it must act within rules that expressly confine the ET’s power to specified circumstances, notably unreasonableness in the bringing or conduct of the proceedings. The ET manages, hears and decides the case and is normally the best judge of how to exercise its discretion. 8. There is therefore a strong, soundly based disinclination in the appellate tribunals and courts to upset any exercise of discretion at first instance. In this court permission is rarely given to appeal against costs orders. I have noticed a recent tendency to seek permission more frequently. That trend is probably a consequence of the comparatively large amounts of legal costs now incurred in the ETs. 9. An appeal against a costs order is doomed to failure, unless it is established that the order is vitiated by an error of legal principle, or that the order was not based on the relevant circumstances. An appeal will succeed if the order was obviously wrong. As a general rule it is recognised that a first instance decision‑maker is better placed than an appellate body to make a balanced assessment of the interaction of the range of factors affecting the court’s discretion. This is especially so when the power to order costs is expressly dependent on the unreasonable bringing or conduct of the proceedings. The ET spends more time overseeing the progress of the case through its preparatory stages and trying it than an appellate body will ever spend on an appeal limited to errors of law. The ET is familiar with the unfolding of the case over time. It has good opportunities for gaining insight into how those involved are conducting the proceedings. An appellate body’s concern is principally with particular points of legal or procedural error in Tribunal proceedings, which do not require immersion in all the details that may relate to the conduct of the parties.”
“[…] This court is not entitled to interfere with the ET’s discretion, even if, had it been exercising the ET’s discretion, this court might have analysed the situation of the parties in greater depth, or given more detailed reasons for its decision, or acceded to the application to the extent of making an order for payment of some of the costs.”
“I’m enrolled in the final year and plan to complete the Master’s degree in 2008.”
“The Respondents also contend that the fact that the Claimant pursued this course is inconsistent with an assertion that she is unlikely to work in education in the future. The Respondent’s submissions however appeared to be based on the premise that the Tribunal should reject the Claimant’s evidence that she was only enrolled on this course until about June 2007. However, there is no evidence that the Claimant continued this course beyond that date .”
“12. The Claimant’s evidence as we have recorded it, and our findings of fact are to the extent illustrated above wrong. We have had to decide whether this was because the Claimant was deliberately misleading us, or whether we misunderstood the evidence, or some thing in between those two poles. 13. We do not consider that the Claimant deliberately intended to mislead the Tribunal in respect of this evidence. We note that the matters could have been more clearly expressed during the original hearing. Had the Claimant been more forthcoming with information the matter would have become much clearer much sooner. Unfortunately, as we have noted in our Remedy Judgment, this litigation has given rise to a significant level of animosity between the parties. A more open approach or better co-operation between the parties might have prevented this error occurring. In the event the error has not resulted in us concluding that the Claimant is an unreliable witness or that her evidence has been seriously discredited. We have come to our conclusion on our assessment of her whilst giving evidence throughout the original hearing, during the remedy hearing and at this review hearing.”
“40.—[…] (2) A Tribunal or chairman shall consider making a costs order against a paying party where, in the opinion of the tribunal or chairman (as the case may be), any of the circumstances in paragraph (3) apply. Having so considered, the tribunal or chairman may make a costs order against the paying party if it or he considers it appropriate to do so. (3) The circumstance referred to in paragraph (2) are where the paying party has in bringing the proceedings, or he or his representatives has in conducting the proceedings, acted vexatiously, abusively, disruptively or otherwise unreasonably, or the bringing or conducting of the proceedings by the paying part has been misconceived. [..]”
“16. The Tribunal has considered whether the Claimant’s conduct or that of her legal representatives has been such as to warrant an order for costs under therule 40 of the Employment Tribunal Rules of Procedure 2004 . We do not consider that there has been conduct on the part of the Claimant or her legal advisors that merits an order for costs in this Employment Tribunal litigation. 17. Looking at the conduct of the case as a whole, by both the parties, we consider that this litigation has been bitterly contested; it has been a long running case. However in our view there is no conduct which we are able to identify which would merit the award of costs in favour of any party underrule 40 of the Employment Tribunal Rules of Procedure 2004 . The specific grounds for the application made by the Respondent in the letter of30 November 2011 do not, in our view, set out conduct justifying the making of an award of costs. 18. If the Tribunal were wrong in the conclusion that there is no conduct that justifies consideration of making an order for costs, the Tribunal would not have made an order for costs. The Tribunal does not consider that this is a case where justice requires us to make an order for costs. The circumstances of the case taken as a whole do not in our view justify an award of costs in favour of either party.”
“93. Such an appeal ought only to succeed where an overwhelming case is made out that the Employment Tribunal reached a decision which no reasonable tribunal, on a proper appreciation of the evidence and the law, would have reached. Even in cases where the Appeal Tribunal has “grave doubts” about the decision of the Employment Tribunal, it must proceed with “great care”, British Telecommunications PLC v Sheridan[1990] IRLR 27 at para 34.”
“[…] contain an outline of the story which has given rise to the complaint and a summary of the Tribunal’s basic factual conclusions and a statement of the reasons which have led them to reach the conclusion which they do on those basic facts. The parties are entitled to be told why they have won or lost. There should be sufficient account of the facts and of the reasoning to enable the EAT or, on further appeal, this court to see whether any question of law arises; and it is highly desirable that the decision of an Employment Tribunal should give guidance both to employers and trade unions as to practices which should or should not be adopted.”
“[…] Such a practice can, we believe, only comply with Article 6 if the reason for the decision in respect of costs is clearly implicit from the circumstances in which the award is made. […] Where the reason for an order as to costs is not obvious, the Judge should explain why he or she has made the order. The explanation can usually be brief. The manner in which the Strasbourg Court itself deals with applications for costs provides a model of all that is normally required.”