Defamation costs pilot scheme [Archived]
Defamation costs pilot scheme [Archived]

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

  • Defamation costs pilot scheme [Archived]
  • What is it?
  • Why are Costs Budgets so important?
  • When and where is the Scheme running?
  • What CPR provisions apply?
  • Preparation and effect of the costs budget
  • Discussions between parties
  • Revision of approved costs budgets
  • Court approval of Costs Budgets
  • Obligations on solicitors

Defamation costs pilot scheme [Archived]

This Practice Note has been archived and is for historical purposes only. The defamation costs pilot scheme ended on 31 March 2013. For information on costs budgeting, see: Costs budgeting and costs management—overview.

What is it?

The Scheme requires parties in defamation proceedings (ie proceedings which include allegations of libel, slander and/or malicious falsehood) to provide the court with a detailed estimate of future base costs ('Costs Budget'). These Costs Budgets are required to be regularly updated by the parties and will then be either approved or disapproved by the court. In effect, they will set the marker for future costs recovery and the court will not depart from an approved Costs Budget without good reason.

The purpose of the Scheme is to ensure that the court has sufficient costs information to manage the litigation so that the parties are on an equal footing and the costs incurred by the parties are proportionate to the value of the claim and the reputational issues (and, as from 1 October 2011, public interest issues) at stake. The court may therefore order attendance at regular telephone costs management conferences to enable it to monitor costs.

For guidance on a similar type of scheme being operated in the Mercantile and TCC courts see Practice Note: Costs Management in Mercantile and TCC courts — pilot scheme

Why are Costs

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