Effect of Claimant’s Part 36 Offer

Little and Others v George Little Sebire & Co (QBD TLR 17 November)

The claimants were awarded individual judgments totalling approximately £50,000 (inclusive of interest) and had made an offer under CPR Part 36 indicating that they would accept £30,000 (inclusive of interest) in satisfaction of the whole of their claim against the defendant. The defendant had made no Part 36 payment or Part 36 offer but resisted an order for costs on the grounds that the claimants had only succeeded because of an amendment of the claim at the trial. The defendant had continued to contest the claim after the amendment and the judge found that they had throughout been determined to resist the claim whether or not there was an amendment. In those circumstances there was no reason for not making the normal order for costs in favour of the claimants. Because about 10% of the trial time was spent on an issue on which the claimants had failed the judge awarded the claimants only 90% of their costs of the trial. He did not award 10% of the costs to the defendant because the amount involved was only about £1,000 which, if it had been dealt with on the Small Claims track, would have attracted no order for costs.