O'Brien v Shorrock & Anor [2015] EWHC 1630 (QB) (12 June 2015)

O'Brien v Shorrock & Anor [2015] EWHC 1630 (QB) (12 June 2015)

The proper success fee is determined by arithmetically applying the solicitors' risk assessment at the time the CFA was made, resulting in a 67% success fee post-CFA and 20% for the retrospective period. The date required by CPD 19.4(2) is the date the CFA was made, not its retrospective start date. Relief from sanction is granted, but a reduced success fee applies for the pre-CFA period due to non-compliance with the Practice Direction.

Citation
[2015] EWHC 1630 (QB)
Parties
Claimant/respondent: John Joseph O'Brien (a protected party suing by his father and litigation friend Arthur O'Brien); First Defendant: Michael Shorrock; Appellant/second Defendant: Motor Insurers Bureau
Jurisdiction
England and Wales
Judgment Date
12 June 2015
Procedural Posture
Appeal (costs Assessment) / High Court Appeal From Regional Costs Judge
Outcome
Appeal allowed in part
Legal Topics
Conditional Fee Agreements, Success Fees, Relief From Sanctions, Practice Direction Compliance, Retrospective Agreements
Civil Procedure Costs Conditional Fee Agreements Success Fees Relief From Sanctions Practice Direction Compliance Retrospective Agreements

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Parties

John Joseph O'Brien (a protected party suing by his father and litigation friend Arthur O'Brien)

Claimant/respondent

Michael Shorrock

First Defendant

Motor Insurers Bureau

Appellant/second Defendant

Procedural Posture

Appeal (costs Assessment) / High Court Appeal From Regional Costs Judge

Legal Issues

  1. 1 Whether the success fee under the CFA should be assessed at 5%, 67%, or 75%
  2. 2 Whether the date in CPD paragraph 19.4(2) refers to the date the CFA was made or its retrospective start date
  3. 3 Whether relief from sanction should be granted for non-compliance with the Practice Direction regarding notice of funding

Ratio Decidendi

The proper success fee is determined by arithmetically applying the solicitors' risk assessment at the time the CFA was made, resulting in a 67% success fee post-CFA and 20% for the retrospective period. The date required by CPD 19.4(2) is the date the CFA was made, not its retrospective start date. Relief from sanction is granted, but a reduced success fee applies for the pre-CFA period due to non-compliance with the Practice Direction.

Court Disposition

Appeal allowed in part

Orders

  • Success fee for costs incurred from 6 November 2008 to 21 October 2009 set at 20% (not 40%)
  • Success fee for costs incurred after 21 October 2009 set at 67% (not 75%)