JXC (by his litigation friend CXJ) v NIS

JXC (by his litigation friend CXJ) v NIS

The solicitors failed to provide the litigation friend with adequate information about the costs management orders, the budget limits, and the likely irrecoverability of budget overspend. As a result, the budget overspend was unreasonably incurred and unreasonable in amount, and cannot be recovered from the...

Source-derived case information.

Parties
Claimant: JXC (by his litigation friend CXJ); Defendant: NIS
Jurisdiction
England and Wales
Judgment Date
11 September 2024
Procedural Posture
Personal Injury (costs Assessment) / Detailed Assessment of Costs Following Settlement
Outcome
Base costs shortfall not recoverable from claimant; success fee allowed at 33% of base costs (after deduction of budget overspend); ATE premium recoverable.
Legal Topics
Solicitor Client Costs Assessment, Conditional Fee Agreements, Success Fees, Costs Budgeting, Protected Parties, Reasonableness of Costs
Civil Procedure Costs Law Solicitor Client Costs Assessment Conditional Fee Agreements Success Fees Costs Budgeting Protected Parties Reasonableness of Costs

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 19 Party arguments 2 Amounts and remedies 9
Sign in to unlock

Parties

JXC (by his litigation friend CXJ)

Claimant

NIS

Defendant

Procedural Posture

Personal Injury (costs Assessment) / Detailed Assessment of Costs Following Settlement

Legal Issues

  1. 1 Whether the base costs shortfall claimed by the claimant's solicitors from the claimant's damages was reasonably incurred and reasonable in amount
  2. 2 Whether the success fee claimed under the CFA was reasonable given the risks at the time of entering the agreement
  3. 3 Whether the solicitors provided adequate information to the litigation friend regarding budget overspend and its consequences

Ratio Decidendi

The solicitors failed to provide the litigation friend with adequate information about the costs management orders, the budget limits, and the likely irrecoverability of budget overspend. As a result, the budget overspend was unreasonably incurred and unreasonable in amount, and cannot be recovered from the claimant's damages. The success fee, assessed by reference to the risks as reasonably perceived at the time of the CFA, is allowed at 33% of base costs (after deduction of the budget overspend).

Court Disposition

Base costs shortfall not recoverable from claimant; success fee allowed at 33% of base costs (after deduction of budget overspend); ATE premium recoverable.

Orders

  • No part of the base costs shortfall may be deducted from the claimant's damages by IM.
  • IM is entitled to a success fee of £225,759.53 inclusive of VAT (33% of base costs after deduction of budget overspend).