INDUSTRY NEWS
Underspend on a Phase in Relation to Budgets
The case of Utting v City College Norwich (2020) EWHC B20 (Costs) rejected the argument that underspend amounted to a good reason to depart from a budget. CPR 3.18 provides that “in any case where a Costs Management Order has been made, when assessing costs on the...
The Cap on Recoverable Costs of Budgeting
The case of Marbrow v Sharpes Garden Services Ltd (2020) EWHC B26 (Costs) considered the issue of whether the cap on recoverable costs of the budgeting process are inclusive, or exclusive of VAT. It was held that the limits stated in the rules are exclusive of VAT....
Misconduct in Detailed Assessment
It is worth taking into account the case of Farmer v The Chief Constable of Lancashire (2019) EWHC B18 (Costs). This was a case in which a Bill was originally drafted at £174,565.79 which included a success fee in Parts 2 and 3 of the Bill in the sum of £28,088.41. It...
Amendments to Costs Budgeting Process
Amendments have been made to CPR Rule 3 and Practice Direction 3E with effect from 1st October 2020. The new Precedent T annexed to Practice Direction 3E is to be used in the event of a variation of a budget pursuant to Rule 3.15 A. In addition, Practice Direction 3E...
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