Arag Plc v Jones & Anor [2020] EWHC 3484 (Comm) (18 December 2020)

Arag Plc v Jones & Anor [2020] EWHC 3484 (Comm) (18 December 2020)

Ms Gibson and the defendant were joint debtors for the costs; Ms Gibson's liability was discharged by the insurer under an indemnity policy, entitling the insurer by subrogation to claim a contribution from the defendant for half the costs paid. The claim is not statute-barred as the six-year limitation for common law contribution applies.

Citation
[2020] EWHC 3484 (Comm)
Parties
Claimant: ARAG PLC; Defendant: Leighton Jones; Third Party: Newbold & Co. (A Firm)
Jurisdiction
England and Wales
Judgment Date
18 December 2020
Procedural Posture
Commercial Contribution Claim / Trial Judgment
Outcome
Judgment for the claimant for £20,000 contribution from the defendant.
Legal Topics
Contribution Between Joint Debtors, Subrogation Rights of Insurers, Limitation Periods for Contribution Claims, Interpretation of Insurance Contracts
Insurance Law Civil Procedure Contract Law Contribution Between Joint Debtors Subrogation Rights of Insurers Limitation Periods for Contribution Claims Interpretation of Insurance Contracts

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Parties

ARAG PLC

Claimant

Leighton Jones

Defendant

Newbold & Co. (A Firm)

Third Party

Procedural Posture

Commercial Contribution Claim / Trial Judgment

Legal Issues

  1. 1 Whether Ms Gibson had a cause of action for contribution from the defendant
  2. 2 Whether the claim for contribution is barred by limitation
  3. 3 Whether the claimant insurer is entitled to bring the claim by subrogation

Ratio Decidendi

Ms Gibson and the defendant were joint debtors for the costs; Ms Gibson's liability was discharged by the insurer under an indemnity policy, entitling the insurer by subrogation to claim a contribution from the defendant for half the costs paid. The claim is not statute-barred as the six-year limitation for common law contribution applies.

Court Disposition

Judgment for the claimant for £20,000 contribution from the defendant.

Orders

  • Defendant to pay claimant £20,000 as contribution for costs paid to Mr Francis.
  • No contribution recoverable for costs lawyers' fees.