C Ltd v D & X

C Ltd v D & X

C Limited was not the successful party for costs purposes as X resigned due to SRA referral, not concession of the section 24 application; it was not tolerably clear C would have succeeded on the merits; reasonable settlement offers were refused; justice required only an order for C to pay X’s junior counsel’s costs, otherwise no order as to costs.

Parties
Claimant: C Limited; First Defendant: D; Second Defendant: X
Jurisdiction
England and Wales
Judgment Date
21 May 2020
Procedural Posture
Arbitration Claim / Costs Determination Following Section 24 Application and Arbitrator Resignation
Outcome
Application for costs by C Limited dismissed; partial costs order made.
Legal Topics
Removal of Arbitrator, Costs Orders, Impartiality, Arbitrator Liability
Arbitration Civil Procedure Removal of Arbitrator Costs Orders Impartiality Arbitrator Liability

Case Brief

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Parties

C Limited

Claimant

D

First Defendant

X

Second Defendant

Procedural Posture

Arbitration Claim / Costs Determination Following Section 24 Application and Arbitrator Resignation

Legal Issues

  1. 1 Whether C Limited is the successful party for costs purposes after arbitrator X's resignation
  2. 2 Whether costs should be awarded against arbitrator X and/or D
  3. 3 Merits of section 24 application for removal of arbitrator

Ratio Decidendi

C Limited was not the successful party for costs purposes as X resigned due to SRA referral, not concession of the section 24 application; it was not tolerably clear C would have succeeded on the merits; reasonable settlement offers were refused; justice required only an order for C to pay X’s junior counsel’s costs, otherwise no order as to costs.

Court Disposition

Application for costs by C Limited dismissed; partial costs order made.

Orders

  • C Limited to pay costs of X’s junior counsel in respect of section 24 application.
  • No other order as to costs.