Hawksford Trustees Jersey Limited –v- Stella Global UK Limited & Anor [2012] EWCA Civ 987

Posted on Thursday, July 19th, 2012

S, the unsuccessful appellant, was ordered to pay H’s costs of the appeal. H claimed an ATE premium of £394,638. S’s costs of the appeal were estimated at £68,502. However, the policy included cover for S’s costs of the primary proceedings and the appeal which were put at £619,000, as well as cover for own disbursements, own solicitor’s fees and cover against having to re-pay a £200,000 payment on account ordered in the trial of the preliminary proceedings. This last element was conceded by H leaving a total claim of £331,038. S argued, inter alia, the wording of s.29 Access to Justice Act 1999 meant that the primary proceedings and the appeal were separate for the purposes of costs and that the cost of insuring the primary proceedings could not be recovered as a part of the costs of the appeal. The Court of Appeal (Patten LJ dissenting) agreed, Wright –v- Bennett [1948] 1KB 601 applied. Furthermore, the statutory notice provisions would be defeated by the allowance of such retrospective premiums which could also impede an appellant’s access to justice by imposing crippling additional costs as graphically illustrated by the present case.

http://www.bailii.org/ew/cases/EWCA/Civ/2012/987.html

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