Christopher Bell v Commissioner of Police of the Metropolis
[2024] EWHC 650 (KB)
PHILLIP SMOUT v WULFRUN HOTELS LIMITED
10 May 2023
[2023] EWHC 1128 (KB)
High Court
A man sued a hotel after tripping on their broken pavement. The hotel was rude and mean to the man's lawyers. The judge gave the man extra money because of how mean the hotel was. The higher court said that wasn't fair and reduced some of the extra money, but still punished the hotel for being mean by making them pay more for the man's lawyer fees.
Key Facts
- •Mr. Smout (Claimant) tripped and fell on a defective pavement outside a shop owned by Wulfrun Hotels Ltd (Defendant).
- •The Defendant's company secretary, Mr. Shawker, engaged in abusive and unprofessional correspondence with the Claimant's solicitors.
- •The Recorder awarded damages, interest on damages, and costs to the Claimant.
- •The Defendant appealed against the interest awarded on damages and additional costs.
- •The Claimant made a Part 36 offer which was not accepted by the Defendant.
Legal Principles
Appeals are a review of the lower court's decision, generally not hearing new evidence.
CPR rule 52.21
Challenges to findings of fact in the lower court require a high threshold.
Grizzly Business v Stena Drilling [2017] EWCA civ 94 at 39-40
Interest is awarded on damages in personal injury cases to compensate the claimant for being kept out of their money.
Kemp and Kemp on the Quantum of Damages, Chapter 26
The court has discretion to award interest at a rate it thinks fit (Senior Courts Act 1981, s.35A; County Courts Act 1984, s.69).
Senior Courts Act 1981, s.35A; County Courts Act 1984, s.69
In personal injury cases, interest should generally be awarded unless there are special reasons not to (SCA 1981, s.35A(7)).
Senior Courts Act 1981, s.35A(7)
Guidance on interest rates for pain, suffering, and loss of amenity; typically 2% per annum from date of service of proceedings.
Jefford v Gee [1970] 2 QB, Birkett v Hayes [1982] 1 WLR 6, Wright v British Railway Board [1983] 3 WLR 211, Lawrence v Chief Constable of Staffordshire [2000] PIQR Q9
Part 36 offers and consequences of beating one's own offer.
CPR Part 36
The objective of awarding interest is compensatory, not punitive.
Reinhard v Ondra [2015] EWHC 2943
Outcomes
Appeal partly allowed.
The Recorder's award of 6% interest on pain, suffering, and loss of amenity was overturned; it was deemed inappropriate to increase interest rate based solely on Defendant's conduct.
Interest on damages reduced to 2% per annum.
In line with established case law and to avoid double-counting with Part 36 benefits.
Indemnity costs and additional liability under Part 36 set aside.
The Claimant did not beat his Part 36 offer after the correction of the interest calculation.
Indemnity costs awarded to the Claimant from February 4, 2019.
Due to the Defendant's abusive conduct.
No order for costs on the appeal.
Defendant's failure to appear at the costs hearing and continued abusive behaviour.