CABOT FINANCIAL (UK) LTD AGAINST CATHERINE WEIR [2021] ScotCS CSIH_64 (30 November 2021)

CABOT FINANCIAL (UK) LTD AGAINST CATHERINE WEIR [2021] ScotCS CSIH_64 (30 November 2021)

A success fee is an extra-judicial item and not an allowable expense in the taxation of an account following an award of expenses, regardless of the scale. The fee agreement's cap applies, limiting the success fee to 25% of the sum sued for.

Citation
[2021] ScotCS CSIH_64
Parties
Pursuer/respondent: Cabot Financial (UK) Ltd; Defender/appellant: Catherine Weir
Jurisdiction
Scotland
Judgment Date
30 November 2021
Procedural Posture
Civil Appeal / Appeal From Sheriff Appeal Court
Outcome
appeal refused
Legal Topics
Agent and Client Expenses, Success Fee, Taxation of Accounts
Civil Procedure Expenses Agent and Client Expenses Success Fee Taxation of Accounts

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Parties

Cabot Financial (UK) Ltd

Pursuer/respondent

Catherine Weir

Defender/appellant

Procedural Posture

Civil Appeal / Appeal From Sheriff Appeal Court

Legal Issues

  1. 1 Whether a 'success fee' under a speculative fee agreement is recoverable from the unsuccessful party in agent and client, client paying expenses
  2. 2 Proper construction of the fee agreement regarding the cap on the success fee

Ratio Decidendi

A success fee is an extra-judicial item and not an allowable expense in the taxation of an account following an award of expenses, regardless of the scale. The fee agreement's cap applies, limiting the success fee to 25% of the sum sued for.

Court Disposition

appeal refused

Orders

  • Success fee not recoverable from opponent in agent and client, client paying expenses
  • Success fee capped at 25% of sum sued for (£1,819.38)