Heron v TNT (UK) Ltd & Ors

Heron v TNT (UK) Ltd & Ors

The negligent failure by the solicitors to obtain ATE insurance and subsequent lack of disclosure to the client did not, on the facts found, amount to conduct outside the ordinary remit of a solicitor or justify a non-party costs order; there was no evidence of conscious impropriety or that the solicitors became the real party to the litigation.

Parties
Claimant/interested Party: Manuel Heron; Appellant/defendant: TNT (UK) Limited; Respondent: Mackrell Turner Garrett (a firm)
Jurisdiction
England and Wales
Judgment Date
02 May 2013
Procedural Posture
Civil Appeal / Appeal From Costs Order Application
Outcome
Appeal dismissed
Legal Topics
Non Party Costs Orders, Wasted Costs Orders, Conditional Fee Agreements, After the Event Insurance, Conflict of Interest
Civil Procedure Professional Negligence Costs Non Party Costs Orders Wasted Costs Orders Conditional Fee Agreements After the Event Insurance Conflict of Interest

Case Brief

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Parties

Manuel Heron

Claimant/interested Party

TNT (UK) Limited

Appellant/defendant

Mackrell Turner Garrett (a firm)

Respondent

Procedural Posture

Civil Appeal / Appeal From Costs Order Application

Legal Issues

  1. 1 Whether a non-party costs order should be made against solicitors for failure to obtain ATE insurance
  2. 2 Whether solicitors acted outside their role and became 'real party' to litigation
  3. 3 Whether negligent failure to obtain ATE insurance creates a conflict of interest justifying costs order

Ratio Decidendi

The negligent failure by the solicitors to obtain ATE insurance and subsequent lack of disclosure to the client did not, on the facts found, amount to conduct outside the ordinary remit of a solicitor or justify a non-party costs order; there was no evidence of conscious impropriety or that the solicitors became the real party to the litigation.

Court Disposition

Appeal dismissed

Orders

  • No non-party costs order against Mackrell Turner Garrett
  • No wasted costs order