Alexander Gorbachev v Andrey Grigoreyvich Guriev

Alexander Gorbachev v Andrey Grigoreyvich Guriev

The costs of the jurisdiction challenge are part of the costs of the disclosure application under CPR 46.1, and the general rule is that the applicant should pay the third party’s costs unless unreasonable behaviour is shown. The Trustees’ jurisdiction challenge was reasonable and supported by authority, so the general rule applies and the Judge erred in treating the jurisdiction application as self-standing and outside CPR 46.1.

Parties
First Respondent: Alexander Gorbachev; Third Respondent: Andrey Grigoreyvich Guriev; Respondent: Forsters LLP; Appellant: T. U. Reflections Ltd; Appellant: First Link Management Services Limited
Jurisdiction
England and Wales
Judgment Date
28 March 2023
Procedural Posture
Appeal / Appeal Against Costs Order Following Jurisdiction Challenge in Third Party Disclosure Application
Outcome
Appeal allowed
Legal Topics
Third Party Disclosure, Jurisdiction Challenge, Costs Orders, CPR 46.1, CPR 44.2
Civil Procedure Costs Third Party Disclosure Jurisdiction Challenge Costs Orders CPR 46.1 CPR 44.2

Case Brief

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Parties

Alexander Gorbachev

First Respondent

Andrey Grigoreyvich Guriev

Third Respondent

Forsters LLP

Respondent

T. U. Reflections Ltd

Appellant

First Link Management Services Limited

Appellant

Procedural Posture

Appeal / Appeal Against Costs Order Following Jurisdiction Challenge in Third Party Disclosure Application

Legal Issues

  1. 1 Whether CPR 46.1 applies to costs of a jurisdiction challenge in third party disclosure applications
  2. 2 Whether the general rule that a successful applicant pays the third party’s costs applies to jurisdiction challenges
  3. 3 Whether circumstances justify displacement of the general rule under CPR 46.1(3)

Ratio Decidendi

The costs of the jurisdiction challenge are part of the costs of the disclosure application under CPR 46.1, and the general rule is that the applicant should pay the third party’s costs unless unreasonable behaviour is shown. The Trustees’ jurisdiction challenge was reasonable and supported by authority, so the general rule applies and the Judge erred in treating the jurisdiction application as self-standing and outside CPR 46.1.

Court Disposition

Appeal allowed

Orders

  • Order substituted: Mr Gorbachev to pay the Trustees’ costs of the jurisdiction application