JN Dairies Ltd v Johal Dairies Ltd & Anor

JN Dairies Ltd v Johal Dairies Ltd & Anor

Success fees on work done before the conditional fee agreements were entered into are not allowed, as they were not reasonably incurred. Retrospective success fees of this order are unreasonable as between the parties, and there is no authority for allowing such fees. However, success fees on counsel's brief fees for the full appeal hearing, incurred after the agreements, are not disallowed in full.

Parties
Claimant: J N Dairies Limited; First Defendant: Johal Dairies Limited; Second Defendant: Gurbir Singh
Jurisdiction
England and Wales
Judgment Date
23 August 2011
Procedural Posture
Costs Assessment / Judgment on Detailed Assessment of Costs Following Appeal
Outcome
Success fees on work done before the conditional fee agreements were entered into are disallowed; success fees on counsel's brief fees for the full appeal hearing are allowed subject to reasonableness.
Legal Topics
Conditional Fee Agreements, Retrospective Success Fees, Reasonableness of Costs, Notice of Additional Liabilities
Civil Procedure Costs Conditional Fee Agreements Retrospective Success Fees Reasonableness of Costs Notice of Additional Liabilities

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Parties

J N Dairies Limited

Claimant

Johal Dairies Limited

First Defendant

Gurbir Singh

Second Defendant

Procedural Posture

Costs Assessment / Judgment on Detailed Assessment of Costs Following Appeal

Legal Issues

  1. 1 Whether the claimant can recover success fees for work done before entering into conditional fee agreements
  2. 2 Whether retrospective success fees are reasonable and recoverable from the paying party

Ratio Decidendi

Success fees on work done before the conditional fee agreements were entered into are not allowed, as they were not reasonably incurred. Retrospective success fees of this order are unreasonable as between the parties, and there is no authority for allowing such fees. However, success fees on counsel's brief fees for the full appeal hearing, incurred after the agreements, are not disallowed in full.

Court Disposition

Success fees on work done before the conditional fee agreements were entered into are disallowed; success fees on counsel's brief fees for the full appeal hearing are allowed subject to reasonableness.

Orders

  • Success fees on work done by solicitors and counsel before the conditional fee agreements are disallowed.
  • Success fees on counsel's brief fees for the full appeal hearing are allowed, except for the portion relating to work done before the agreements.