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A B C D E F G H I J K L M N O P R S T V W Y

Imminent increase in Court Fees

Imminent increase in Court Fees

Monday 2nd March 2015

As you may have heard or read, from April 2015, the government is proposing to substantially increase the Court fees payable when issuing court claims.

In claims for the recovery of money or damages, the Court operates a sliding scale of fees, presently running from £25 at the lower end to £1,920 at the upper end. Full details of the current fee scales can be found here.

From April 2015, Court issue fees for the recovery of money will equate to 5% of the value of a claim (capped at £10,000). Thus, a claim for £200,000 will now attract a court fee of £10,000 (as opposed to £1,920 that is the current Court fee). Clearly, this is a sizeable increase.

Discounts of 10% will apply to these fees where the claim is initiated electronically using online facilities (where available) however not all claims can be commenced online.

Fees for claims of less than £10,000 will be unaffected by these proposals.

Clearly one way for clients to avoid these substantial Court fees is to issue proceedings before the end of March 2015 when the new fee regime comes into force.

As is the case now, Court issue fees form part of the costs of any claim which can be sought from a defendant in the event of a successful outcome. However, many cases “settle” out of court without full account being taken of the costs incurred.

You are therefore advised to give careful consideration to any legal issues that are current, or which you can see may involve the need to commence legal proceedings.

Please bear in mind that a great many clients may wish to issue proceedings in March (for this very reason), so please don't leave it until the last two weeks in March before you approach us, as pre-action protocol letters will still have to be issued and complied with before proceedings can be issued!

It is important to note that commencing any court claim requires careful forethought and planning such that it may be dangerous to rely upon ‘last minute’ instructions to issue a claim before the new fees take effect.

If you are in this position and require assistance or wish to discuss your options then please don't hesitate to contact any member of our litigation team or any of the partners listed below.

The Litigation Team at Brabners LLP

Paul Lunt

Partner – Head of Litigation - Liverpool

Tel: 0151 600 3061

Email: paul.lunt@brabners.com

 

 

 

 

Jeff Lewis

Partner – Head of Litigation - Manchester

Tel: 0161 836 8872

Email: jeff.lewis@brabners.com

 

 

 

 

Stuart Irons

Partner – Head of Litigation - Preston

Tel: 01772 229 824

Email: stuart.irons@brabners.com