Civil litigation funding—consultation and reform proposals [Archived]
Civil litigation funding—consultation and reform proposals [Archived]

The following Dispute Resolution guidance note provides comprehensive and up to date legal information covering:

  • Civil litigation funding—consultation and reform proposals [Archived]
  • The consultation
  • The Government's response
  • Conditional fee agreements and After the Event (ATE) insurance
  • Damages-based agreements (DBAs/contingency fees)
  • CPR 36
  • Assessment of costs - new test of proportionality
  • Increased hourly rates for litigants in person
  • The future

ARCHIVED: This Practice Note has been archived as it predates 1 April 2013 and is for reference purposes only in understanding the consultation that took place on reforming conditional fee agreements and other aspects of funding and costs in civil litigation. It looks at the Government’s response, CFAs, After the Event (ATE) insurance, Damages-based agreements (DBAs/contingency fees), CPR 36 and assessment of costs - new test of proportionality as well as the increased hourly rates for litigants in person.

The consultation

Following Lord Justice Jackson's report on costs, the Ministry of Justice announced its consultation on reforming conditional fee agreements and other aspects of funding and costs in civil litigation. The consultation closed on Monday 14 February 2011. For more information, see: Reform of civil litigation funding: consultation launched (News, 16 November 2010).

The Government's response

The Ministry of Justice published its response in May 2011.

The Government has, overall, accepted Jackson's main recommendations (with some adjustment). These propose a 'package' of measures which start with abolition of the general recoverability of success fees in CFAs (Conditional Fee Agreements) and ATE (After the Event) insurance premiums.

Implementation of most of the proposals will require enactment of primary legislation. It is intended to table legislation as soon as Parliamentary time permits, with the aim being that all of the proposals