- High Court grants relief from sanctions for late costs budget even where no relief from sanctions application was made (Manchester Shipping Ltd v Balfour Worldwide Ltd)
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Dispute Resolution analysis: The penalty for not serving a costs budget on time is draconian. CPR 3.14 provides that the defaulting party shall be treated as having filed a budget in which court fees alone are claimed for the lifetime of the action. Deputy High Court Judge Lionel Persey QC, was benevolent and granted relief from the sanction even though no application for relief had been made. While the failure to file a costs budget on time was serious in terms of lateness, looking at all of the circumstances, it was appropriate to grant relief from sanctions. Written by Professor Dominic Regan, City Law School, London, and special advisor to the Association of Costs Lawyers.
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