Part 36 offers—costs consequences of rejection or non-acceptance
Produced in partnership with Alice Nash of Hailsham Chambers
Part 36 offers—costs consequences of rejection or non-acceptance

The following Dispute Resolution practice note produced in partnership with Alice Nash of Hailsham Chambers provides comprehensive and up to date legal information covering:

  • Part 36 offers—costs consequences of rejection or non-acceptance
  • Costs consequences of not accepting a Part 36 offer—how does CPR 36.17 work?
  • Deciding not to accept a Part 36 offer—factors to take into account
  • Adverse costs consequences
  • Clarifying the offer
  • Accepting the offer late
  • Costs consequences of claimant not accepting a defendant's Part 36 offer
  • Costs consequences of defendant not accepting a claimant's Part 36 offer
  • Enhanced interest
  • Indemnity costs
  • More...

Note: This Practice Note is relevant only to Part 36 offers as considered under CPR 36 in force as from 6 April 2015. For guidance on transitional provisions, see Practice Note: Illustrating the changes—the transitional provisions for the revised Part 36 in force as of 6 April 2015.

This Practice Note sets out the costs consequences of an offeree not accepting a Part 36 offer under CPR 36 in force as of 6 April 2015. It explains the terminology of ‘more advantageous’ and ‘at least as advantageous’.

Costs consequences of not accepting a Part 36 offer—how does CPR 36.17 work?

CPR 36.17 sets out the costs consequences of an offeree not accepting a Part 36 offer.

The critical issue in determining the applicable costs consequences is by reference to what was achieved by way of judgment at trial. In this respect, CPR 36.17 distinguishes between where:

  1. the claimant (or, by virtue of CPR 36.4(2), an appellant) achieves a judgment 'more advantageous' than a defendant (or respondent's) Part 36 offer and

  2. the claimant (or appellant) obtains a judgment 'at least as advantageous' as the proposals in their own Part 36 offer

As can be seen, under CPR 36.4(2) for 'claimant' you can also read 'appellant' and for 'defendant' you can read 'respondent' when considering the costs consequences of not accepting a Part 36 offer (and throughout CPR 36 generally).

For ease

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