Tranter v Hansons (Wordsley) Ltd [2009] EWHC 90145 (Costs) (18 June 2009)

Tranter v Hansons (Wordsley) Ltd [2009] EWHC 90145 (Costs) (18 June 2009)

The claimant's solicitors failed to take reasonable steps to ascertain whether the claimant's risk of incurring liability for costs was insured under an existing contract of insurance, specifically by not enquiring about the defendant's legal expenses insurance policy. This was a material breach of Regulation 4(2)(c) of the CFA Regulations 2000, denying the claimant the opportunity to consider available insurance. As a result, the CFA is unenforceable and the claimant cannot recover her solicitors' profit costs from the defendant.

Citation
[2009] EWHC 90145 (Costs)
Parties
Claimant: Rita Tranter; Defendant: Hansons (Wordsley) Limited
Jurisdiction
England and Wales
Judgment Date
18 June 2009
Procedural Posture
Detailed Assessment of Costs in Personal Injury Claim / Post Settlement, Detailed Assessment Hearing
Outcome
Claimant's solicitors' profit costs are not recoverable from the defendant due to a material breach of Regulation 4(2)(c) of the CFA Regulations 2000.
Legal Topics
Conditional Fee Agreements, Legal Expenses Insurance, Regulation 4(2)(c) CFA Regulations 2000, Enforceability of Cfas, Material Breach of Regulations
Civil Procedure Costs Personal Injury Conditional Fee Agreements Legal Expenses Insurance Regulation 4(2)(c) CFA Regulations 2000 Enforceability of Cfas Material Breach of Regulations

Case Brief

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Parties

Rita Tranter

Claimant

Hansons (Wordsley) Limited

Defendant

Procedural Posture

Detailed Assessment of Costs in Personal Injury Claim / Post Settlement, Detailed Assessment Hearing

Legal Issues

  1. 1 Whether the claimant's solicitors complied with Regulation 4(2)(c) of the Conditional Fee Agreements Regulations 2000 by making reasonable enquiries about existing legal expenses insurance, including policies held by the defendant.
  2. 2 Whether any breach of Regulation 4(2)(c) was material, affecting the enforceability of the CFA and the claimant's entitlement to recover profit costs.

Ratio Decidendi

The claimant's solicitors failed to take reasonable steps to ascertain whether the claimant's risk of incurring liability for costs was insured under an existing contract of insurance, specifically by not enquiring about the defendant's legal expenses insurance policy. This was a material breach of Regulation 4(2)(c) of the CFA Regulations 2000, denying the claimant the opportunity to consider available insurance. As a result, the CFA is unenforceable and the claimant cannot recover her solicitors' profit costs from the defendant.

Court Disposition

Claimant's solicitors' profit costs are not recoverable from the defendant due to a material breach of Regulation 4(2)(c) of the CFA Regulations 2000.

Orders

  • Claimant is unable to recover solicitors' profit costs from the defendant.