Multiplex Constructions (UK) Ltd v Cleveland Bridge UK Ltd & Anor [2008] EWHC 2280 (TCC) (29 September 2008)

Multiplex Constructions (UK) Ltd v Cleveland Bridge UK Ltd & Anor [2008] EWHC 2280 (TCC) (29 September 2008)

Multiplex is the overall winner as CB must pay £6,154,246.79 to Multiplex; however, Multiplex's failure on Schedule 4 and rejection of CB's reasonable offer on Schedule 1 require a proportionate costs order. Multiplex is awarded 20% of its costs of the action, reflecting both parties' conduct and relative success. Each party bears its own costs for preliminary issue 11.

Citation
[2008] EWHC 2280 (TCC)
Parties
Claimant/part 20 Defendant: Multiplex Constructions (UK) Limited; First Defendant/part 20 Claimant: Cleveland Bridge UK Limited; Second Defendant: Cleveland Bridge Dorman Long Engineering Limited
Jurisdiction
England and Wales
Judgment Date
29 September 2008
Procedural Posture
Commercial Litigation (construction Dispute) / Post Trial Costs Judgment
Outcome
Multiplex is awarded 20% of its costs of the action; each party bears its own costs for preliminary issue 11.
Legal Topics
Costs Orders, Settlement Offers, Issue Based Costs, Proportionate Costs, Conduct of Parties
Civil Procedure Commercial Law Construction Law Costs Orders Settlement Offers Issue Based Costs Proportionate Costs Conduct of Parties

Case Brief

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Parties

Multiplex Constructions (UK) Limited

Claimant/part 20 Defendant

Cleveland Bridge UK Limited

First Defendant/part 20 Claimant

Cleveland Bridge Dorman Long Engineering Limited

Second Defendant

Procedural Posture

Commercial Litigation (construction Dispute) / Post Trial Costs Judgment

Legal Issues

  1. 1 Which party is the overall winner for costs purposes
  2. 2 Appropriate costs order reflecting issue-based and proportionate success
  3. 3 Effect of settlement offers and conduct on costs

Ratio Decidendi

Multiplex is the overall winner as CB must pay £6,154,246.79 to Multiplex; however, Multiplex's failure on Schedule 4 and rejection of CB's reasonable offer on Schedule 1 require a proportionate costs order. Multiplex is awarded 20% of its costs of the action, reflecting both parties' conduct and relative success. Each party bears its own costs for preliminary issue 11.

Court Disposition

Multiplex is awarded 20% of its costs of the action; each party bears its own costs for preliminary issue 11.

Orders

  • CB to pay Multiplex 20% of Multiplex's costs of the action, assessed on the standard basis.
  • Each party to bear its own costs for preliminary issue 11.