Notice of funding

Supperstone v Hurst and another [2008] EWHC 75 ChD 16 April

The claimant was the first defendant’s trustee in bankruptcy. The claimant had applied to the court for an order for the sale of the defendant’s matrimonial home, which was owned jointly by the defendant and his wife. The wife unsuccessfully resisted that application and was ordered to pay 95% of the claimant’s costs. The wife appealed against that decision and on the day before the hearing of the appeal, the claimant’s representatives emailed to the wife a notice of funding. The wife’s appeal was dismissed and on the subsequent assessment of costs, the costs officer held that the wife had had adequate notice of the claimant’s funding arrangements, so as to entitle him to recover a success fee and the after-the-event insurance policy premium. The notice of funding was unsigned and failed to identify the insurer and policy number as required under the Cost Practice Direction para 19(2)(4) and it had been served seven days late. Nevertheless, on appeal, the costs judge had held that relief from sanction should be granted.