Haines v Sarner

Haines v Sarner

The risk assumed by the Claimant’s solicitors under the CFA entered into on 24 November 2003 was minimal, as liability had already been resolved and the only remaining risk was as to quantum. The CFA ensured recovery of base costs even if a Part 36 offer was not beaten, and the risks cited by the Claimant’s solicitors were inherent in any retainer and not compensable by a success fee. Therefore, the recoverable success fee is assessed at 5%.

Parties
Claimant: Victor Sidney Haines; Defendant: Howard Keith Sarner
Jurisdiction
England and Wales
Judgment Date
27 April 2005
Procedural Posture
Costs Assessment / Judgment on Reasonableness of Success Fee Under Conditional Fee Agreement
Outcome
Success fee reduced to 5%
Legal Topics
Conditional Fee Agreements, Success Fees, Detailed Assessment of Costs
Civil Procedure Costs Conditional Fee Agreements Success Fees Detailed Assessment of Costs

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Parties

Victor Sidney Haines

Claimant

Howard Keith Sarner

Defendant

Procedural Posture

Costs Assessment / Judgment on Reasonableness of Success Fee Under Conditional Fee Agreement

Legal Issues

  1. 1 Whether the 60% success fee claimed under the Conditional Fee Agreement dated 24 November 2003 is reasonable

Ratio Decidendi

The risk assumed by the Claimant’s solicitors under the CFA entered into on 24 November 2003 was minimal, as liability had already been resolved and the only remaining risk was as to quantum. The CFA ensured recovery of base costs even if a Part 36 offer was not beaten, and the risks cited by the Claimant’s solicitors were inherent in any retainer and not compensable by a success fee. Therefore, the recoverable success fee is assessed at 5%.

Court Disposition

Success fee reduced to 5%

Orders

  • Recoverable success fee assessed at 5%
  • Permission granted to restore detailed assessment to determine any further outstanding issues including costs of the detailed assessment proceedings