Last updateTue, 24 Feb 2015 5pm

Richard Marshall and Clare Arthurs look at developments in non-party costs orders and parties to proceedings

The turbulent economic climate of recent years has heightened the importance to litigants (and their advisers) of establishing the solvency of all parties to proceedings. Where a party looks to be in financial difficulty, the wise litigator will question how and by whom the litigation is being funded. If there is a (solvent) third party involved, parties should consider applying for a non-party costs order (NPCO) under s51 Senior Courts Act 1981 (SCA) and Civil Procedure Rules r46.2 (CPR).

Additional Info

  • Case(s) Referenced:

    Aiden Shipping Co Ltd v Interbulk Ltd (The ‘Vimeira’) [1986] AC 965

    Arkin v Borchard Lines Ltd & ors [2005] EWCA Civ 655

    Dymocks Franchise Systems (NSW) Pty Ltd v Todd & ors (No 2) (New Zealand) [2004] UKPC 39

    Goodwood Recoveries Ltd v Breen [2005] EWCA Civ 414

    Pintorex Ltd v Keyvanfar & ors [2013] EWPCC 36

    Secretary of State for Trade and Industry v Aurum Marketing Ltd & anor [2000] EWCA Civ 224

    Threlfall v ECD Insight Ltd & anor [2012] EWHC 3543 (QB); [2013] EWCA Civ 1444