UTB LLC v Sheffield United Ltd

UTB LLC v Sheffield United Ltd

Sheffield was the successful party on the funding application as it obtained, by agreement, the principal relief it sought. It was reasonable for Sheffield to serve and pursue the application given the parties’ conduct and lack of trust. However, Sheffield’s recoverable costs should be reduced by fifty percent to reflect its partial responsibility for the impasse that led to the application.

Parties
Claimant/respondent: UTB LLC; Defendant/applicant: Sheffield United Limited
Jurisdiction
England and Wales
Judgment Date
03 October 2018
Procedural Posture
Civil (costs Application) / Post Interlocutory Application for Costs
Outcome
UTB to pay Sheffield one half of its costs of the funding application, subject to assessment and deductions as specified.
Legal Topics
Costs, Shareholder Disputes, Interim Applications
Civil Procedure Company Law Costs Shareholder Disputes Interim Applications

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Parties

UTB LLC

Claimant/respondent

Sheffield United Limited

Defendant/applicant

Procedural Posture

Civil (costs Application) / Post Interlocutory Application for Costs

Legal Issues

  1. 1 Who was the successful party on the funding application for costs purposes?
  2. 2 Was it reasonable and necessary for Sheffield to make and pursue the funding application?
  3. 3 Should costs be reduced due to Sheffield's partial responsibility for the impasse?

Ratio Decidendi

Sheffield was the successful party on the funding application as it obtained, by agreement, the principal relief it sought. It was reasonable for Sheffield to serve and pursue the application given the parties’ conduct and lack of trust. However, Sheffield’s recoverable costs should be reduced by fifty percent to reflect its partial responsibility for the impasse that led to the application.

Court Disposition

UTB to pay Sheffield one half of its costs of the funding application, subject to assessment and deductions as specified.

Orders

  • UTB to pay 50% of Sheffield’s assessed costs of the funding application.
  • Costs to be summarily assessed with deductions for work not properly referable to the application.