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Interim Payment on Account of Costs: Global Assets Advisory Services Ltd & Anor v Grandlane Developments Ltd & Ors [2019] EWCA Civ 1764 - Andrew Cousins, Counsel at DWF Advocacy Ltd

18/11/19. The Court of Appeal has given clarification as to how Part 36 interacts with CPR 44 and the Court's powers to make orders for interim payments of costs following acceptance of a part 36 offer. The case addresses situations where a deemed order for costs on the standard basis under CPR 44.9 is made.

Background

The Appellants appealed against the refusal of their application for an interim payment on account of costs following acceptance of a part 36 offer by the Respondents.

The background to the claim was that the Appellants had sought a final injunction restraining the Respondents from using confidential information, in addition an inquiry as to damages or an account of profits was also sought. The Respondents accepted the Appellants' part 36 offer within the Relevant Period of the offer. Consequently the Appellants were deemed to be entitled to the costs of the proceedings up to the date of acceptance of the part 36 offer.

The Appellant's applied for an interim payment on account pursuant to CPR 44.2(8), this provides that:

Where the court orders a party to pay costs subject to detailed assessment, it will order that party to pay a reasonable sum on account of costs, unless there is good reason not to do so.

The Judge at first instance held that, in accordance with the decision in...

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