Shared Network Services Ltd v Nextiraone UK Ltd

Shared Network Services Ltd v Nextiraone UK Ltd

Given the claimant's lack of real prospect of success and insufficient evidence that security would stifle the claim, it is just to order security for costs limited to future costs, not those already incurred.

Parties
Appellant/claimant: Shared Network Services Limited; Respondent/1st Defendant: Nextiraone UK Limited
Jurisdiction
England and Wales
Judgment Date
13 July 2012
Procedural Posture
Civil Appeal / Application for Security for Costs Pending Appeal
Outcome
Security for costs ordered
Legal Topics
Security for Costs, Exclusion Clauses, Summary Judgment, Appeal Procedure
Civil Procedure Contract Law Security for Costs Exclusion Clauses Summary Judgment Appeal Procedure

Case Brief

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Parties

Shared Network Services Limited

Appellant/claimant

Nextiraone UK Limited

Respondent/1st Defendant

Procedural Posture

Civil Appeal / Application for Security for Costs Pending Appeal

Legal Issues

  1. 1 Whether security for costs should be ordered against an impecunious claimant company in an appeal with little prospect of success
  2. 2 Whether the appeal would be stifled by an order for security for costs
  3. 3 Whether the exclusion clause in the contract bars the claim

Ratio Decidendi

Given the claimant's lack of real prospect of success and insufficient evidence that security would stifle the claim, it is just to order security for costs limited to future costs, not those already incurred.

Court Disposition

Security for costs ordered

Orders

  • Claimant to provide security for costs in the sum of £12,500 (excluding VAT) for future costs.
  • Extension of time for service of Respondent's Notice granted until 14 days after provision of security.