Vellacott v The Convergence Group Plc & Ors

Vellacott v The Convergence Group Plc & Ors

Mr Robinson was the real party to the litigation, controlled and funded the proceedings, pursued a dishonest and speculative claim he knew to be unfounded, and caused the claimant to incur substantial costs; justice required he be personally liable for those costs on an indemnity basis, including the costs of the failed mediation. Mrs Robinson was not found to have sufficient control, benefit, or causative involvement to justify a non-party costs order against her.

Parties
Claimant: Chantrey Vellacott; First Defendant: The Convergence Group PLC; Second Defendant: Convergence Group International SA; Third Defendant: Alan Stuart Macdonald Robinson; Fourth Defendant: Gail Farrin Robinson
Jurisdiction
England and Wales
Judgment Date
31 July 2007
Procedural Posture
Application for Non Party Costs Order / Post Trial Costs Determination
Outcome
Application granted in part
Legal Topics
Non Party Costs Orders, Indemnity Costs, Directors' Liability for Costs, Security for Costs, Professional Negligence, Corporate Insolvency
Civil Procedure Costs Company Law Non Party Costs Orders Indemnity Costs Directors' Liability for Costs Security for Costs Professional Negligence +1 more

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Parties

Chantrey Vellacott

Claimant

The Convergence Group PLC

First Defendant

Convergence Group International SA

Second Defendant

Alan Stuart Macdonald Robinson

Third Defendant

Gail Farrin Robinson

Fourth Defendant

Procedural Posture

Application for Non Party Costs Order / Post Trial Costs Determination

Legal Issues

  1. 1 Whether Mr and Mrs Robinson should be personally liable for costs incurred by the claimant under section 51 of the Supreme Court Act 1981
  2. 2 Whether costs should be assessed on the indemnity basis
  3. 3 Whether the costs should include the costs of a failed mediation

Ratio Decidendi

Mr Robinson was the real party to the litigation, controlled and funded the proceedings, pursued a dishonest and speculative claim he knew to be unfounded, and caused the claimant to incur substantial costs; justice required he be personally liable for those costs on an indemnity basis, including the costs of the failed mediation. Mrs Robinson was not found to have sufficient control, benefit, or causative involvement to justify a non-party costs order against her.

Court Disposition

Application granted in part

Orders

  • Costs ordered against The Convergence Group PLC and Convergence Group International SA to be assessed on the indemnity basis, including costs of the failed mediation.
  • Mr Alan Robinson personally ordered to pay those costs jointly and severally.