Can deferring payment of costs inadvertently create security for costs? (JSC VTB Bank v Skurikhin)

Table of contents

• What are the practical implications of this case?
• What was the background?
• What did the court decide?
• Case details

Article summary

Dispute Resolution analysis: Mr Andrew Henshaw QC summarily assessed the costs of an unsuccessful interim application for security for costs, refusing the paying party's request to defer payment of those costs until after the final hearing. This approach was taken basis that the judge had identified that deferral of payment would inadvertently create some security for the claimant, and this would undermine the court’s decision to refuse security in the interim application. Richie Rees, costs lawyer at Paragon Costs Solutions considers the judgment and its practical implications.