Kelly v Hays Plc & Anor

Kelly v Hays Plc & Anor

It was not objectively reasonable for the claimant to instruct a City or central London firm; the appropriate category was a national one firm, with some uplift for complexity, resulting in reasonable hourly rates of £295 (A), £230 (B), £175 (C), and £120 (D) fee earners.

Parties
Claimant/respondent: Melanie Kelly; Defendant/appellant: Hays PLC; Defendant/appellant: Hays Specialist Recruitment Ltd
Jurisdiction
England and Wales
Judgment Date
19 February 2015
Procedural Posture
Costs Appeal (personal Injury) / Appeal From Senior Court Costs Office Decision
Outcome
Appeal allowed; reasonable hourly rates set at national one firm rates with uplift.
Legal Topics
Costs Assessment, Reasonableness of Solicitors' Rates, Guideline Hourly Rates, Discretion in Costs, Appeal Review Standards
Civil Procedure Personal Injury Employment Law Costs Assessment Reasonableness of Solicitors' Rates Guideline Hourly Rates Discretion in Costs Appeal Review Standards

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Parties

Melanie Kelly

Claimant/respondent

Hays PLC

Defendant/appellant

Hays Specialist Recruitment Ltd

Defendant/appellant

Procedural Posture

Costs Appeal (personal Injury) / Appeal From Senior Court Costs Office Decision

Legal Issues

  1. 1 What is the reasonable hourly rate for solicitors' costs recoverable by the claimant?
  2. 2 Was it objectively reasonable for the claimant to instruct a City or central London firm of solicitors?

Ratio Decidendi

It was not objectively reasonable for the claimant to instruct a City or central London firm; the appropriate category was a national one firm, with some uplift for complexity, resulting in reasonable hourly rates of £295 (A), £230 (B), £175 (C), and £120 (D) fee earners.

Court Disposition

Appeal allowed; reasonable hourly rates set at national one firm rates with uplift.

Orders

  • Parties to seek agreement on overall costs based on the new rates; if not agreed, matter remitted to Senior Court Costs Office.