
Effective Use of Contractual Cost Clauses

Effective Use = Recoverability = Free Legal Service
Are you looking for legal services for your recoveries but concerned about costs? At Greenhalgh Kerr we make recovering costs a priority for all of our clients.
What you need to know:-
Q/. Does it matter if the claim is a small claim and subject to the fixed costs regime?
A/. No, we will plead your case so that costs are recoverable in any event.
Q/. What cost models do Greenhalgh Kerr offer?
A/. We will tailor our cost models to suit our client’s needs. We offer Fixed Fees and low blended hourly charge out rates below Law Society guideline rates.
Chaplair Ltd -v- Kumari [2015] EWCA Civ 798
The Court of Appeal ordered that where the terms of a lease include a contractual indemnity in respect of costs, this takes precedence over the rules set out in the CPR.
It held that the judge could use the terms of the lease to make an award for costs and was not bound by the costs fixed regime in the Civil Procedure Rules. The Court did still have discretion in deciding whether the landlord would achieve 100% recovery under the indemnity – here the court allowed approximately 90%.
CPR Part 44.5 – Amount of costs where costs are payable under a contract
(1) Subject to paragraphs (2) and (3), where the court assesses (whether by summary or detailed assessment) costs which are payable by the paying party to the receiving party under the terms of a contract, the costs payable under those terms are, unless the contract expressly provides otherwise, to be presumed to be costs which –
(a) have been reasonably incurred; and
(b) are reasonable in amount, and the court will assess them accordingly.
(2) The presumptions in paragraph (1) are rebuttable. Practice Direction 44 – General rules about costs sets out circumstances where the court may order otherwise.
(3) Paragraph (1) does not apply where the contract is between a solicitor and client.
How to use us and what you can expect:-
We would welcome a meeting with any prospective clients who wish to:-
- Experience a high quality legal service,
- Maintain control over the fees and legal spend,
- Have access to our bespoke on-line portal,
- Regular contact with your dedicated legal team, and
- Bespoke reporting.
Please contact our Steven Owens on 0333 200 5205 or e-mail steven.owens@greenhalghkerr.com