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'It's costs recovery, Jim, but not as we know it'.

Bedson Chard, 14:49 11.20.2012

I know that this wasn't actually said in Star Trek and that I said (see blog 1) that I wouldn't bore folk with costs talk, but I couldn't let this one slip by.

I have recently received the MOJ's consultation request letter on the proposals for extending fixed costs in personal injury claims. Here it is: MOJ Fixed Costs Consultation. The proposal is to extend the RTA costs portal to include claims for damages up to £25,000; and to also extend the type of claim covered by the portal to include employment and public liability personal injury claims. There are also proposals for fixing costs in cases that escape the portal.

I am quite surprised at the limited amounts to be allowed for pursuing such cases and dismayed that I won't get to cost them anymore. Obviously, people like me aren't the best people to ask about the proposals, perhaps, as we stand to lose out as a result of the changes. I cannot see, though, how this will do anything to increase access to justice, or improve the justice that is eventually accessed by those stubborn souls who manage to convince a solicitor to take their cases.

What it is likely to do, is lead to a lot of good firms exiting PI work and early settlements of cases at lesser amounts than clients are entitled to, because there isn't the money to properly pursue them. Obviously, we'll all be quids in with the lower insurance premiums charged by insurance companies, due to the reduced burden of claims and costs they'll have to bear. Watch out for that flying pig.

 


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Adrian Chard
'It's costs recovery, Jim, but not as we know it'.
18:06 04/28/2013

The latest on this is that the extension to the portal by way of inclusion of EL and PL claims up to £25,000, which was postponed from April 2013, will now be introduced in July. Ho hum...

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Adrian Chard
'It's costs recovery, Jim, but not as we know it'.
08:10 04/03/2013

Extension to PI Portal Costs beamed up!

 

A welcome Christmas present from Chis Grayling, the Justice Secretary, to PI lawyers was reported on Christmas Eve.

This was the postponement of the extension of the portal to cover Public Liability and Employers' Liability and RTA claims up to £25,000. This was as a result of APIL's challenge to the Government that the extension would be illegal because the existing Portal had not been properly evaluated, which was due to come before the Court for Judicial Review. Whilst it is doubtless a temporary reprieve for the costs management of these types of claims, it is a rare piece of good news in the relentless stream of bad news that has been poured onto lawyers of all descriptions from a great height over recent years. Long live APIL! And shouldn't the law Society have been doing this?

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