Ardawa v Uppal & Anor

Ardawa v Uppal & Anor

The court has jurisdiction to summarily assess the costs of the appeal payable out of the bankruptcy estate, and both Ms Uppal’s and the Trustee’s costs must be reasonable and proportionate. Ms Uppal is entitled to 60% of her assessed costs, and the Trustee’s recoverable costs are limited to a reasonable sum reflecting his neutral role.

Parties
Appellant: Surjit Singh Ardawa; First Respondent: Rajvinder Kaur Uppal; Second Respondent: Adam Jordan (as Trustee in Bankruptcy of the Appellant)
Jurisdiction
England and Wales
Judgment Date
28 June 2019
Procedural Posture
Bankruptcy Appeal / Costs Determination After Appeal Judgment
Outcome
Costs orders made; summary assessment of costs; directions as to payment from the estate.
Legal Topics
Bankruptcy Costs, Annulment of Bankruptcy Order, Assessment of Costs, Trustee Expenses
Insolvency Civil Procedure Bankruptcy Costs Annulment of Bankruptcy Order Assessment of Costs Trustee Expenses

Case Brief

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Parties

Surjit Singh Ardawa

Appellant

Rajvinder Kaur Uppal

First Respondent

Adam Jordan (as Trustee in Bankruptcy of the Appellant)

Second Respondent

Procedural Posture

Bankruptcy Appeal / Costs Determination After Appeal Judgment

Legal Issues

  1. 1 What approach should the court take to costs following an unsuccessful application to annul a bankruptcy order?
  2. 2 Does the court have jurisdiction to summarily assess costs payable out of the bankruptcy estate?
  3. 3 Are the Trustee’s legal costs of the appeal reasonable and proportionate?

Ratio Decidendi

The court has jurisdiction to summarily assess the costs of the appeal payable out of the bankruptcy estate, and both Ms Uppal’s and the Trustee’s costs must be reasonable and proportionate. Ms Uppal is entitled to 60% of her assessed costs, and the Trustee’s recoverable costs are limited to a reasonable sum reflecting his neutral role.

Court Disposition

Costs orders made; summary assessment of costs; directions as to payment from the estate.

Orders

  • Ms Uppal to recover 60% of her assessed costs (£10,812.38) from the estate, subject to summary assessment.
  • The Trustee to recover £5,700 (inclusive of VAT) from the estate, reflecting a set-off for Mr Ardawa’s costs of the costs argument.