Although the claimant had beaten the offer, this was an offer the Judge should have regard to in deciding what order to make about costs under CPR 44.2(4)(c). Further, the figure for business interruption losses which was claimed was unreasonable and exaggerated, and the claimant had been tardy and obstructive during disclosure.
Therefore, for the period from 21 days after the defendant’s beaten Part 36 offer, the claimant was disallowed the recovery of its costs and the defendant was awarded its costs on the standard basis, save that the claimant would receive their costs relating to the assessment of interest on their claim as they had clearly beaten the Defendant’s offer on interest rates.
It is clear that simply beating a Part 36 offer on the money alone is not always enough to ensure that the claimant gets their costs. Taking a less obstructive and more consensual approach to the litigation would have avoided these costs penalties.
Joseph Carr & Robin Stewart, Anthony Gold