Genius Sports Technologies Ltd & Ors v Soft Construct (Malta) Ltd & Ors [2022] EWHC 2308 (Ch) (27 July 2022)

Parties

Procedural Posture

Case Management Conference in Multi Party Intellectual Property and Competition Litigation / Costs Management and Joinder Applications Pre Trial

Legal Issues

1. 1 Whether to impose a costs capping order or costs budgeting regime in complex, high-value litigation
2. 2 Whether to join certain representative defendants to the counterclaim

Ratio Decidendi

Given the extraordinary and unjustified projected costs, the mismatch between parties' budgets, and the inadequacy of budgeting or detailed assessment alone to control costs, a costs cap of £5 million per side for future costs is necessary and proportionate. There is no compelling reason to join representative defendants to the counterclaim where neither the counterclaimant nor those defendants seek it.

Court Disposition

Costs capping order imposed; no joinder of representative defendants to counterclaim; directions for future conduct of proceedings.

Orders

• Each party's future costs from 28 July 2022 are capped at £5 million, excluding third party document management provider costs.
• Costs judge may permit recovery in excess of the cap only if there is good reason and it was not reasonable to apply for variation under CPR 3.19(7).