Part 36 and the Costs of Detailed Assessment: Can You Beat Your Own Offer? — Best v Luton & Dunstable Hospital
Detailed Assessment — 2021-01-29
This case involved the issue of whether the Claimant could rely on a Part 36 offer in relation to the costs of detailed assessment proceedings. The detailed assessment of the Claimant's costs in a clinical negligence claim had been settled, but after the summary assessment hearing concluded, the Claimant sought to raise a Part 36 offer related to the assessment costs. Costs Judge Leonard allowed the issue to be raised post-hearing, noting that the hearing had not truly ended as the point was raised within the originally allocated time. However, the judge ultimately refused the Claimant's argument that the costs of the detailed assessment could be treated as an "independent claim" under CPR 47.20(7). The court held that while detailed assessment proceedings are treated as independent for the purpose of applying Part 36, the costs of those proceedings themselves do not constitute an independent issue that could trigger a Part 36 award. This decision was partly based on concerns about potential "parasitic" cycles of costs assessments if Part 36 were applicable in this manner, which would be contrary to the overriding objective of proportionality and fairness.
Summary
This case involved the issue of whether the Claimant could rely on a Part 36 offer in relation to the costs of detailed assessment proceedings. The detailed assessment of the Claimant's costs in a clinical negligence claim had been settled, but after the summary assessment hearing concluded, the Claimant sought to raise a Part 36 offer related to the assessment costs. Costs Judge Leonard allowed the issue to be raised post-hearing, noting that the hearing had not truly ended as the point was raised within the originally allocated time. However, the judge ultimately refused the Claimant's argument that the costs of the detailed assessment could be treated as an "independent claim" under CPR 47.20(7). The court held that while detailed assessment proceedings are treated as independent for the purpose of applying Part 36, the costs of those proceedings themselves do not constitute an independent issue that could trigger a Part 36 award. This decision was partly based on concerns about potential "parasitic" cycles of costs assessments if Part 36 were applicable in this manner, which would be contrary to the overriding objective of proportionality and fairness.
About This Analysis
This case summary is part of the Mackenzie Costs case law library, providing expert analysis of significant costs law decisions for legal professionals. Each article examines the key issues, judicial reasoning, and practical implications for costs practitioners.
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