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ADR: Mediate and be damned

03 April 2015  

Neil Jamieson examines the increasing significance of mediation

Would-be litigants certainly cannot be criticised for approaching the prospect of bringing or defending court proceedings with increasing trepidation. The recent and sudden rise in the fee charged by the courts to bring proceedings has caused widespread alarm. The cost of commencing a £200,000 claim rose just weeks ago from £1,315 to £10,000. Although subject to a maximum limit of £10,000, the fee rise is nevertheless startling. Add to this the impact of the Jackson reforms – the increased control by judges over the litigation process and focus on strict rule compliance (backed by sanctions), together with the requirement for all parties to claims worth less than £10m to produce a detailed costs budget for the entirety of the case (with the risk of costs falling outside that budget being irrecoverable) – and it seems inevitable that parties will find litigation a less attractive option than before.

Additional Info

  • Case(s) Referenced:

    Garritt-Critchley & ors v Ronnan & anor [2014] EWHC 1774 (Ch)

    Halsey v Milton Keyes General NHS Trust [2004] EWCA Civ 576

    Laporte & anor v The Commissioner of Police of the Metropolis [2015] EWHC 371 (QB)

    Northrop Grumman Mission Systems Europe Ltd v BAE Systems (AL Diriyah C41) Ltd [2014] EWHC 3148 (TCC)

    PGF II SA v OMFS Company 1 Ltd [2013] EWCA Civ 1288