Michael Wilson & Partners Limited v John Forster Emmott
[2023] EWHC 1005 (Comm)
Michael Geoffrey Willis v GWB Harthills LLP & Ors
26 February 2024
[2024] EWHC 409 (SCCO)
Senior Courts Costs Office
Someone didn't pay their court costs on time. The other side got a default judgment for the full amount. The first person tried to get it cancelled, saying they were too sick and the other side was unfair. The judge said the rules are the rules, the default judgment stands, and the first person has to pay the other side's legal costs as well.
Key Facts
- •Mr. Willis (Applicant) applied to set aside a default costs certificate issued in the SCCO relating to a costs award from an Employment Tribunal.
- •The default costs certificate was for £210,151, representing the capped costs awarded against Mr. Willis.
- •The Notice of Commencement of detailed assessment proceedings was served eight months late.
- •Mr. Willis argued the late service, his disabilities, and other issues regarding the costs calculation warranted setting aside the certificate.
- •The Respondents argued the certificate was properly obtained.
Legal Principles
Detailed assessment proceedings are governed by Part 47 of the Civil Procedure Rules (CPR) and Practice Direction 47.
CPR 47, Practice Direction 47
Applications to set aside default costs certificates are subject to the principles of relief from sanctions under CPR 3.9, as confirmed in FXF v English Karate Federation Ltd [2023] EWCA Civ 891.
CPR 3.9, FXF v English Karate Federation Ltd [2023] EWCA Civ 891
When considering relief from sanctions, the court applies the Denton test: (1) seriousness of the breach, (2) good reason for the breach, (3) all circumstances of the case (CPR 3.9(1)(a) and (b)).
Denton v TH White Ltd [2014] EWCA Civ 906
The merits of an appeal against a costs order are not relevant to an application to set aside a default costs certificate.
CPR 47.12(2)
Normally, a default costs certificate will only be set aside if the applicant provides a draft of their points of dispute.
Practice Direction 47, paragraph 11.2
A litigant in person is under the same obligation to comply with the rules as a legally represented litigant.
Barton v Wright Hassall LLP [2018] UKSC 12
Outcomes
Mr. Willis's application to set aside the default costs certificate was dismissed.
Mr. Willis failed to demonstrate good reason for the detailed assessment proceedings to continue under CPR 47.12(2). His non-compliance with CPR 47.9 was serious and there was no good reason for it. His arguments regarding the late service of the Notice of Commencement, his health, and potential issues with the costs calculation were not sufficient.
The Respondents were awarded costs of £2,750.
The Respondents were entitled to costs as the application was unsuccessful. The costs were summarily assessed, considering the London SCCO guideline hourly rates and adjustments for document time.