This Checklist considers acceptance and disclosure of Part 36 offers in split trial cases noting the additional factors for the parties to consider. It also considers the potential costs consequences of making a split liability only offer. For detailed guidance on Part 36 offers in split trial cases, see Practice Note: Part 36 offers—split trial cases. For further guidance on accepting a Part 36 offer generally, see Practice Note: Part 36 offers—how and when to accept a Part 36 offer. Scenario Guidance Accepting a Part 36 offer which relates to only parts of the claim or issues to be determined (eg accepting a Part 36 offer on liability only where there is going to be a trial on liability). A Part 36 offer in relation only to parts or issues in the claim cannot be accepted once the trial (in this example, on liability) has been decided even if other issues in the case (such as quantum) are yet to be determined (CPR 36.12(2)).Where the trial has not taken place, the Part 36 offer can

A formal offer to settle a dispute under the Civil Procedure Rules (CPR) Pt 36 carries costs, interest and tactical advantages as an offeree will face costs consequences if they refuse a reasonable offer to settle made by the offeror.

Dispute Resolution analysis: The High Court has adopted a flexible approach to the award of enhanced cost consequences in respect of a beaten Part 36 offer which represented a genuine attempt to settle a claim but not the proceedings as a whole. Written by Phillip Patterson, barrister, Gatehouse Chambers.

The CPR was amended on 1 October 2023 to extend the application of fixed recoverable costs. As a result, Part 36 has been amended to cover claims in the fast track and intermediate track and to noise-induced hearing loss claims allocated to the fast track to which fixed costs will apply where: • the cause of action accrues on or after 1 October 2023, or • in disease claims, no letter of claim has been sent before 1 October 2023 The version of CPR 36 in force before 1 October 2023 (which is no longer maintained in the CPR) can be accessed here: For guidance on the specific rules which apply to claims which fall under the fixed costs regime including cases that have followed the Pre-Action Protocol for Low Value Personal Injury Claims in Road Traffic Accidents, the Pre-Action Protocol for Low Value Personal Injury (Employers’ Liability and Public Liability) Claims or the Pre-Action Protocol for Resolution of Package Travel Claims, see Practice Note: Fixed costs in PI claims—consequential amendments

Dispute Resolution analysis: The Court of Appeal has construed a Part 36 offer stated to be for a sum ‘net of CRU’ as being a valid Part 36 offer made under (then) rule 36.15(3)(a) (now CPR 36.22(3)(a)). Where a defendant elects to make an offer under rule 36.15(3)(a), ie without regard to any liability for recoverable amounts, the requirement to state a gross sum under rule 36.15(6) (CPR 36.22(6)) is not relevant. The Court of Appeal also held that it had been perfectly reasonable for the recorder to adjourn his decision on costs until a review by the Compensation Recovery Unit (CRU) had been completed so that he was able to consider costs in the knowledge as to the correct amount of deductible benefits. The only respect in which the recorder had erred had been in his assessment of whether the claimant had bettered the defendant's Part 36 offer. The recorder had looked at the matter in the wrong way by considering the effect of the offer and the effect of the judgment from the standpoint of the defendant, without regard to the value of each to the claimant. Accordingly, the claimant’s appeal was allowed.

Dispute Resolution analysis: The court allowed the claimants’ application for permission to accept a Part 36 offer during trial (under CPR r.36.11(3)(d)), and dismissed the defendants’ application for permission to withdraw the same offer under CPR r.36.10. The case provides a useful summary of the rules and principles governing Part 36 offers when a trial is in progress. Written by Kristina Lukacova, Barrister at New Square Chambers.

This Practice Note explains when and how the offeree can seek clarification of a Part 36 offer and the potential consequences if the offeror refuses to provide such clarification. When to seek clarification of a Part 36 offer It may be that before the offeree can decide whether or not to accept a Part 36 offer, they require clarification of its terms. CPR 36.8 sets out how an offeree may seek clarification. Examples of when the offeree may wish to ask for clarification of a Part 36 offer include where: • they do not understand the offer being made, eg a poorly worded offer • the offer is ambiguous • the offer is defective, ie it does not strictly comply with Part 36, for example it does not specify a relevant period of at least 21 days • the offer is made following prior interim payments/payments into court but is silent as to whether it is inclusive of such previous payment(s) and any accrued interest on them • where an offer has been varied In

This Practice Note sets out the costs consequences of an offeree not accepting a Part 36 offer, what happens when the offeror ‘beats’ their own Part 36 offer and the meaning of ‘more advantageous’ and ‘at least as advantageous’ under CPR 36.17. It also provides information on Part 36 and currency differences and how to reject a Part 36 offer. Note, this Practice Note sets out the general provisions in CPR 36 and not the specific provisions which only apply to fixed costs cases. However, it should be noted that many of the same considerations noted below will apply to fixed costs cases where Part 36 offers have been made. For information on the specific provisions which apply to Part 36 offers in fixed costs cases on or after 1 October 2023, see Practice Note: Part 36 offers—fixed costs (position on or after 1 October 2023). For information on Part 36 offers in fixed costs cases prior to 1 October 2023, see Practice Note: Part 36 offers—fixed costs (position

This Practice Note provides information on making and receiving a Part 36 counter-offer, its effect on existing Part 36 offers and its effect on other offers of settlement that are not made by way of Part 36. Counter-offer in response to a Part 36 offer If a party receives a Part 36 offer, they are free to make a counter-offer, whether by way of Part 36 or otherwise. The effect of making a counter-offer is discussed below. Effect of a counter-offer on a Part 36 offer The making of a counter-offer does not affect the validity of any existing Part 36 offer. Under CPR 36.11(2), any Part 36 offer that has been made remains open and capable of acceptance, unless the offeror serves a written notice of withdrawal (or the offer is automatically withdrawn in accordance with its terms where the deadline for acceptance expires without the offeree having served notice of acceptance (CPR 36.9(4)(b))). Consequently, if a party makes a counter-offer (whether or not by way of Part 36) which the original Part

This Practice Note explains what an offeree needs to consider when deciding whether or not to accept a Part 36 offer, including the consequences of acceptance before or after expiry of the relevant period. It also considers payment on account of costs, Part 36 acceptance in split trial cases and Part 36 acceptance where there are multiple defendants. Note, this Practice Note covers the Part 36 costs consequences for civil cases that do not come within the fixed costs regime. However, many of the same principles apply in fixed costs cases when a party decides whether or not to accept a Part 36 offer. For information on the specific Part 36 costs consequences for fixed costs cases, see Practice Notes: Part 36 offers—fixed costs (position prior to 1 October 2023) and Part 36 offers—fixed costs (position on or after 1 October 2023). In order to make an informed decision as to whether or not to accept a Part 36 offer, the offeree needs to understand

This Practice Note considers the additional CPR 36 provisions which apply to civil cases that come within the fixed costs regime on or after 1 October 2023. It covers the specific costs consequences of acceptance of a Part 36 offer and the costs consequences following judgment in fixed costs cases. It provides guidance on the 35% additional amount awarded where the claimant obtains judgment which is at least as advantageous as their own Part 36 offer and notes the applicability of the other awards under CPR 36.17(4). Note, that this Practice Note does not consider the specific provisions under CPR 36 that apply to personal injury (road traffic accident, employers’ liability and public liability) cases. For information on Part 36 offers in fixed costs cases prior to 1 October 2023, see Practice Note: Part 36 offers—fixed costs (position prior to 1 October 2023). For guidance generally on CPR 36, see: Part 36 offers—overview and for general guidance on fixed costs, see: Fixed costs—overview. Costs consequences of acceptance of a Part 36

This Practice Note considers the relationship between Part 36 offers and the specific costs recovery regime of CPR 36 with the Part 45 provisions on fixed costs prior to 1 October 2023. This Practice Note references authorities in respect of personal injury claims and considers the relationship between CPR 36 and scale costs for claims in the Intellectual Property Enterprise Court (IPEC) (CPR 46, Section VII). Note, references to ‘rule’ and ‘part’ in this Practice Note refer to the old rules prior to 1 October 2023, which apply to cases that came within the fixed costs regime prior to 1 October 2023. The old Part 36 and old Part 45 can be accessed here: Note, the extended fixed costs regime applies to all civil cases (unless excluded) with a value not exceeding £100,000. For all civil cases, other than personal injury and disease, the extended fixed costs regime applies where proceedings have been issued on or after 1 October 2023. For personal injury cases the extended