Cuthbert v Gair & Anor (t/a The Bowes Manor Equestrian Centre) [2008] EWHC 90114 (Costs) (03 September 2008)

Cuthbert v Gair & Anor (t/a The Bowes Manor Equestrian Centre) [2008] EWHC 90114 (Costs) (03 September 2008)

Fees paid by insurers to loss adjusters for pre-litigation work that would normally be done by solicitors are not recoverable as disbursements on an inter partes basis, as such costs do not fall within the categories of recoverable disbursements under the CPR and breach the indemnity principle.

Citation
[2008] EWHC 90114 (Costs)
Parties
Claimant/appellant: Susan Elizabeth Cuthbert; Defendant/respondent: Stephen Ronald Gair and Wendy Isabell Gair trading as The Bowes Manor Equestrian Centre
Jurisdiction
England and Wales
Judgment Date
03 September 2008
Procedural Posture
Costs Appeal / Appeal From Detailed Assessment Decision
Outcome
Appeal allowed
Legal Topics
Recoverability of Disbursements, Indemnity Principle, Litigant in Person Costs, Subrogation, Expert Assistance Exception
Civil Procedure Costs Recoverability of Disbursements Indemnity Principle Litigant in Person Costs Subrogation Expert Assistance Exception

Case Brief

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Parties

Susan Elizabeth Cuthbert

Claimant/appellant

Stephen Ronald Gair and Wendy Isabell Gair trading as The Bowes Manor Equestrian Centre

Defendant/respondent

Procedural Posture

Costs Appeal / Appeal From Detailed Assessment Decision

Legal Issues

  1. 1 Whether fees paid to loss adjusters by insurers prior to solicitor instruction are recoverable as disbursements on an inter partes basis
  2. 2 Whether such costs breach the indemnity principle
  3. 3 Whether the work falls within the 'expert assistance' exception for recoverable costs

Ratio Decidendi

Fees paid by insurers to loss adjusters for pre-litigation work that would normally be done by solicitors are not recoverable as disbursements on an inter partes basis, as such costs do not fall within the categories of recoverable disbursements under the CPR and breach the indemnity principle.

Court Disposition

Appeal allowed

Orders

  • Item 14 of the bill of costs (loss adjuster fees) disallowed in its entirety
  • Costs of the appeal in principle awarded to the Appellant, subject to further submissions