Clyde & Ors v Thomson Holidays [2002] EWHC 9011 (Costs) (01 November 2002)

Clyde & Ors v Thomson Holidays [2002] EWHC 9011 (Costs) (01 November 2002)

The court must assess proportionality by reference to the total costs incurred, both pre- and post-CPR, applying the global approach. Pre-CPR costs are included in the assessment but protected by transitional provisions. The costs claimed are disproportionate to the sums recovered and the complexity of the case. The detailed assessment of post-CPR costs will be subject to the dual test of reasonableness and necessity. Hourly rates and uplifts claimed by the Claimants are excessive; reasonable rates and a 65% uplift are allowed.

Citation
[2002] EWHC 9011 (Costs)
Parties
Claimants: Gertrude Clyde and 13 others; Defendant: Thomson Holidays
Jurisdiction
England and Wales
Judgment Date
01 November 2002
Procedural Posture
Detailed Assessment of Costs (post Personal Injury Litigation) / Preliminary Issues Judgment on Proportionality and Hourly Rates
Outcome
Claimants' bill found disproportionate; detailed assessment of post-CPR costs to apply dual test of reasonableness and necessity; hourly rates and uplifts reduced.
Legal Topics
Proportionality of Costs, Standard Basis Assessment, Hourly Rates, Transitional Provisions (cpr/rsc), Group Litigation Costs
Civil Procedure Costs Proportionality of Costs Standard Basis Assessment Hourly Rates Transitional Provisions (cpr/rsc) Group Litigation Costs

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Parties

Gertrude Clyde and 13 others

Claimants

Thomson Holidays

Defendant

Procedural Posture

Detailed Assessment of Costs (post Personal Injury Litigation) / Preliminary Issues Judgment on Proportionality and Hourly Rates

Legal Issues

  1. 1 Whether the total costs claimed by the Claimants are proportionate to the matters in issue under CPR 44.4 and 44.5
  2. 2 Whether pre-CPR costs should be included in the global proportionality assessment
  3. 3 What hourly rates and uplifts are reasonable for the work done

Ratio Decidendi

The court must assess proportionality by reference to the total costs incurred, both pre- and post-CPR, applying the global approach. Pre-CPR costs are included in the assessment but protected by transitional provisions. The costs claimed are disproportionate to the sums recovered and the complexity of the case. The detailed assessment of post-CPR costs will be subject to the dual test of reasonableness and necessity. Hourly rates and uplifts claimed by the Claimants are excessive; reasonable rates and a 65% uplift are allowed.

Court Disposition

Claimants' bill found disproportionate; detailed assessment of post-CPR costs to apply dual test of reasonableness and necessity; hourly rates and uplifts reduced.

Orders

  • Detailed assessment of post-CPR costs to apply dual test of reasonableness and necessity.
  • Hourly rates allowed: £135/hour (pre-CPR, grade 1), £145/hour (post-CPR, grade 1), £95/hour (pre-CPR, others), £105/hour (post-CPR, others).