Wates Construction Ltd. v HGP Greentree Allchurch Evans Ltd. [2005] EWHC 2174 (TCC) (10 October 2005)

Wates Construction Ltd. v HGP Greentree Allchurch Evans Ltd. [2005] EWHC 2174 (TCC) (10 October 2005)

Wates' conduct from 11 August 2005 onwards, in maintaining a claim that was clearly unsustainable in light of expert evidence and witness statements, was so unreasonable as to justify an order for indemnity costs from that date; prior conduct did not meet the threshold for indemnity costs.

Citation
[2005] EWHC 2174 (TCC)
Parties
Part 20 Claimant: Wates Construction Limited; Part 20 Defendant: HGP Greentree Allchurch Evans Limited
Jurisdiction
England and Wales
Judgment Date
10 October 2005
Procedural Posture
Part 20 Proceedings (third Party Claim) / Costs Determination Following Discontinuance on First Day of Trial
Outcome
HGP's costs up to 10 August 2005 to be assessed on the standard basis; HGP's costs from 11 August 2005 onwards to be assessed on the indemnity basis.
Legal Topics
Indemnity Costs, Standard Costs, Discontinuance, Unreasonable Conduct in Litigation, Design and Build Contracts
Civil Procedure Construction Law Indemnity Costs Standard Costs Discontinuance Unreasonable Conduct in Litigation Design and Build Contracts

Case Brief

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Parties

Wates Construction Limited

Part 20 Claimant

HGP Greentree Allchurch Evans Limited

Part 20 Defendant

Procedural Posture

Part 20 Proceedings (third Party Claim) / Costs Determination Following Discontinuance on First Day of Trial

Legal Issues

  1. 1 Whether the conduct of Wates and/or their solicitors justified an order for indemnity costs for HGP
  2. 2 Whether costs should be assessed on a standard or indemnity basis, and from what date

Ratio Decidendi

Wates' conduct from 11 August 2005 onwards, in maintaining a claim that was clearly unsustainable in light of expert evidence and witness statements, was so unreasonable as to justify an order for indemnity costs from that date; prior conduct did not meet the threshold for indemnity costs.

Court Disposition

HGP's costs up to 10 August 2005 to be assessed on the standard basis; HGP's costs from 11 August 2005 onwards to be assessed on the indemnity basis.

Orders

  • Wates to pay HGP's costs up to 10 August 2005 on the standard basis.
  • Wates to pay HGP's costs from 11 August 2005 onwards on the indemnity basis.