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Dealing With the Costs of Litigation

Posted on Tuesday, 14th April 2015 by

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For many, the potential costs of engaging in civil litigation, whether as a corporate entity or private individual can be sufficiently concerning to render the prospect of court action redundant, sometimes giving the impression the court forum is exclusive territory.

However, whilst consideration of costs is a hugely important factor in determining whether to pursue litigation, we often find clients approaching the firm with little or no understanding as to the options on costs and so informed decisions have not been made.

At Edward Hands and Lewis we are acutely aware of the cost implications of being involved in civil proceedings. We provide an analysis of the potential costs of civil litigation at the outset and regularly update our clients as to costs forecasts going forward, dealing with their own costs and the potential and extent of an adverse cost order.

Even so, we employ a number of techniques to try to avoid those costs being incurred including where appropriate, offering clients a Conditional Fee Agreement (“no win, no fee”), a Damages Based Agreement that permits costs to be paid as an agreed  % of damages recovered rather than a private paying hourly rate. We can also extend the payment terms for litigation costs with you by an agreement at the outset of the instructions.  We also undertake a lot of work on a fixed fee basis so each client can assess the extent of their own liability as to costs and make choices that reflect their goals.

To try to avoid costs being incurred in the first instance we will examine whether arbitration is appropriate, whether you should be approaching the ombudsman and not solicitors, whether a without prejudice (round the table) meeting should take place between the parties to try to avoid Court proceedings, whether mediation should be set up and whether you should be making settlement offers under the Civil Procedure Rules and in particular Part 36 to place your opponent under pressure to resolve a dispute without incurring the costs of litigation.

In short our clients only incur costs when it is appropriate for them to do so and the costs they do incur are properly explained, properly managed and agreed upon at the outset.

If you would like to talk a member of our team, please call 0800 999 8880.

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The information provided in all of our blogs reflects only a narrative of some elements to consider on the topic. The blogs do not contain considered legal advice and should not be relied upon as advice. Please see our website terms and conditions for full details of our disclaimer. If you are interested in obtaining advice, please contact one of our lawyers who will be happy and able to advise you on your own particular circumstances.

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Paul Stubbs - Litigation
Paul Stubbs - Litigation
paul.s@ehlsolicitors.co.uk 01332 862 113
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