Myatt & Ors v National Coal Board

Myatt & Ors v National Coal Board

Where solicitors have a substantial financial interest in the outcome of litigation, such that they are 'real parties' to the proceedings, the court has jurisdiction under section 51 of the Supreme Court Act 1981 to order them to pay costs, even if the clients retain a modest financial interest. In this case, Ollerenshaws' predominant interest in the appeal justified a non-party costs order for 50% of the respondent's costs.

Parties
Claimant: Myatt & Ors; Defendant: National Coal Board; Appellant's Solicitors (joined for Costs): Ollerenshaws
Jurisdiction
England and Wales
Judgment Date
16 March 2007
Procedural Posture
Civil Appeal / Costs Determination After Appeal Dismissed
Outcome
Appellant's solicitors ordered to pay 50% of respondent's costs of appeal.
Legal Topics
Costs Orders Against Non Parties, Solicitor Liability for Costs, Conditional Fee Agreements (cfas), After the Event (ate) Insurance
Civil Procedure Costs Costs Orders Against Non Parties Solicitor Liability for Costs Conditional Fee Agreements (cfas) After the Event (ate) Insurance

Case Brief

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Parties

Myatt & Ors

Claimant

National Coal Board

Defendant

Ollerenshaws

Appellant's Solicitors (joined for Costs)

Procedural Posture

Civil Appeal / Costs Determination After Appeal Dismissed

Legal Issues

  1. 1 Whether the court has jurisdiction to order the claimants' solicitors to pay some or all of the defendant's costs of the appeal under section 51 of the Supreme Court Act 1981
  2. 2 Whether the solicitors acted as 'real parties' to the litigation such that a non-party costs order is justified

Ratio Decidendi

Where solicitors have a substantial financial interest in the outcome of litigation, such that they are 'real parties' to the proceedings, the court has jurisdiction under section 51 of the Supreme Court Act 1981 to order them to pay costs, even if the clients retain a modest financial interest. In this case, Ollerenshaws' predominant interest in the appeal justified a non-party costs order for 50% of the respondent's costs.

Court Disposition

Appellant's solicitors ordered to pay 50% of respondent's costs of appeal.

Orders

  • Ollerenshaws to pay 50% of the National Coal Board's costs of the appeal.
  • Interest on costs to run from 18 July 2006.