Costs consequences of refusing to mediate—key and illustrative decisions
Costs consequences of refusing to mediate—key and illustrative decisions

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

  • Costs consequences of refusing to mediate—key and illustrative decisions
  • Failure to engage in mediation or ADR process—costs penalty imposed
  • Failure to engage in mediation or ADR process—no costs penalty

This Practice Note summarises the key decisions illustrating the court’s approach when considering whether or not to penalise a party in costs for failing to engage in a mediation or other ADR process.

It is clear that an unreasonable refusal to mediate or engage in some other form of alternative dispute resolution (ADR) process may well render a party liable to costs penalties. For guidance on the principles the court will take into account in this respect, with particular reference to the decisions in Halsey v Milton Keynes and PGF II v OMFS, see Practice Note: Costs sanctions for refusal to mediate.

For a summary of decisions since Halsey, see:

  1. Failure to engage in mediation or ADR process—costs penalty imposed below

  2. Failure to engage in mediation or ADR process—no costs penalty below

Failure to engage in mediation or ADR process—costs penalty imposed

Case details and analysisIssues considered
Wales (t/a Selective Investment Services) v CBRE Managed Services Ltd
30 April 2020
High Court, Business and Property Courts, Manchester Circuit Commercial Court, QBD
Wales (t/a Selective Investment Services) v CBRE Managed Services Ltd [2020] EWHC 1050 (Comm)
The claimant successfully established that the first defendant should be deprived of its costs on the basis that it had unreasonably refused to agree to ADR. This was on the basis that the first defendant had:
—repeatedly declined and refused to participate

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