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The Cost of Litigation – Can it be avoided?

Posted on Tuesday, 21st July 2015 by
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Whether you have been involved in litigation or not, your view of litigation is likely to be that it is a very expensive mechanism for resolving disputes. The position worsened in March 2015, when the governments increase in Court issue fees took effect meaning that to issue a claim to recover monies in excess of £10,000.00, you will have to pay a Court fee that is the equivalent of 5% of the value of the claim up to a maximum Court fee of £10,000.00. Whilst larger cases are more rare, it does mean that the Court fee for a claim to recover £150,000.00 has increased from £1,115.00 to £7,500.00 which is an increase of over 670%. On a more common scale, the Court fee to recover £40,000.00 has risen from £610.00 to £2,000.00, being an increase of over 200%.

The fees are considerable and are no doubt having the effect of discouraging potential litigants from commencing actions at Court.

At Edward Hands and Lewis we take great care to avoid these fees being incurred by our clients. We consider very carefully whether claims can be resolved by active case management, negotiation on the telephone or in person, mediation, adjudication and arbitration, all of which can lead to a successful conclusion to a dispute without the costs associated with Court proceedings.

There is no doubt the shift in litigation is toward mechanisms for resolving disputes without input from the Court and we actively encourage that shift. Therefore, our litigation solicitors are trained to identify arbitration, mediation or without prejudice discussion opportunities and trained further as to how to deal with them when they arise.

The conclusion being that if Court proceedings are issued it will be in circumstances that either the client or the case demands and where all other more cost effective mechanisms or dispute mechanisms have failed.

If you would like to speak to one of our litigation solicitors please do not hesitate to contact us on 0116 266 5394.

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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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