Costs Capping Orders

Costs Capping Orders

Costs Capping Orders in relation to the Technology and Construction Court

[rtbs name=”technology-and-construction-court”]In exercising case management powers, the judge may make costs cap orders which, in normal circumstances, will be prospective only. New rules are set out in Civil Procedure Rules 3, Section III. The judge should only do so, however, where: • it is in the interests of justice to do so; • there is a substantial risk that without such an order costs will be disproportionately incurred; and • the Technology and Construction Court is not satisfied that the risk can be adequately controlled by case management and detailed assessment of costs after a trial. See Civil Procedure Rules 3 Section III “Costs Capping”. The possibility of a costs cap order should be considered at the first case management conference. The later such an order is sought, the more difficult it may be to impose an effective costs cap. The procedure for making an application for a costs capping order are set out in Civil Procedure Rules 3.20 and PD3F Costs Capping (these include a new requirement that parties must file a costs budget rather than an estimate of costs with any application for a costs capping order).


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