Smout v Wulfrun Hotels Ltd [2023] EWHC 1128 (KB) (10 May 2023)

Smout v Wulfrun Hotels Ltd [2023] EWHC 1128 (KB) (10 May 2023)

It was wrong in law and not justifiable on the facts to award interest on general damages at 6% based on the defendant's conduct; the conventional 2% rate should apply, and abusive conduct should be addressed through costs, not interest. The Part 36 offer was not beaten on the correct calculation, so additional...

Source-derived case information.

Citation
[2023] EWHC 1128 (KB)
Parties
Respondent/claimant: Phillip Smout; Appellant/defendant: Wulfrun Hotels Limited
Jurisdiction
England and Wales
Judgment Date
10 May 2023
Procedural Posture
Personal Injury Appeal / High Court Appeal From County Court Judgment
Outcome
Appeal allowed in part; Recorder's order set aside except for judgment for damages; interest recalculated; costs order varied.
Legal Topics
Personal Injury, Damages, Interest on Damages, Costs, Civil Procedure Rules Part 36
Tort Civil Procedure Personal Injury Damages Interest on Damages Costs Civil Procedure Rules Part 36

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Parties

Phillip Smout

Respondent/claimant

Wulfrun Hotels Limited

Appellant/defendant

Procedural Posture

Personal Injury Appeal / High Court Appeal From County Court Judgment

Legal Issues

  1. 1 Whether the Recorder erred in awarding interest on general damages at 6% per annum instead of the conventional 2% rate
  2. 2 Whether abusive conduct by the defendant justified an uplift in the interest rate on damages
  3. 3 Whether the Part 36 offer was beaten and the consequential costs consequences

Ratio Decidendi

It was wrong in law and not justifiable on the facts to award interest on general damages at 6% based on the defendant's conduct; the conventional 2% rate should apply, and abusive conduct should be addressed through costs, not interest. The Part 36 offer was not beaten on the correct calculation, so additional liabilities do not arise.

Court Disposition

Appeal allowed in part; Recorder's order set aside except for judgment for damages; interest recalculated; costs order varied.

Orders

  • Judgment for damages in the sum of £4,125 upheld.
  • Interest on general damages at 2% per annum from 25 November 2019 to 3 August 2022 (£220).