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Part 36 success... what next?


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I am a litigant in person in civil court and the defendant has just informed me by email that they have accepted my part 36 offer. They are days out of time and did not complete the form that accompanied the part 36.

They want my costs.

 

 

 

Pls, could someone tell me what is the next step? I have researched the internet to no avail. Do I discontinue? If yes on what form?

 

I have come too far to fail now.

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Hi and Welcome to CAG

 

I have moved your thread to the appropriate forum (General Legal Issues Forum)....please continue to post here to your thread.

 

Regards

 

Andy

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https://www.justice.gov.uk/courts/procedure-rules/civil/rules/part36

 

Accepting Part 36 Offers

 

A party who wants to accept a Part 36 offer can do so in writing at any time. Note that if a party makes more than one offer, the other party can still accept an earlier offer, as long as that earlier offer has not been withdrawn or changed.If the trial has already started, however, then the court’s permission to accept the offer is required.

 

Also if the offer is made by one defendant to a claim of joint liability and the claimant wishes to continue the claim against the other defendants, it will again need the court’s permission to accept the offer.

 

Consequences of accepting a Part 36 offer

 

If the offer involves the defendant paying a sum of money to the claimant, it must pay that sum within 14 days of the date of acceptance (or any other date agreed between the parties),

 

Otherwise the claimant can enter judgment against it for that sum. So a defendant must make sure that it can pay the settlement sum within 14 days, before making or accepting a Part 36 offer.If the offer is accepted within the Relevant Period, the claimant is entitled to its costs up to the date it accepts the offer.

 

If the parties cannot agree the amount of costs, they will be assessed by the court on what is called the standard basis, which normally means that the claimant recovers about 60-70% of the actual costs he has incurred.If the offer is not accepted within the Relevant Period, or the offer is made less than 21 days before trial, then if the parties do not agree the liability for costs, the court will make an order as to costs.

 

The court rules make it clear that if the offer is accepted after the Relevant Period,then the presumption is that the claimant is entitled to its costs up to the date on which the Relevant Period expired, and the party accepting the offer is liable for the costs of the party making the offer for the period from the date of expiry of the Relevant Period to the date of acceptance.

 

Again, costs will be assessed on the standard basis if not agreed.Although the court rules only apply if court proceedings have been commenced, if a Part 36 offer is accepted before proceedings have been commenced then as long as the Part 36 offer was properly worded, the above consequences should apply on the basis of a contract between the parties.

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As the claim is already in progress you have to get the courts permission...they will advise on settlement....vacate any further hearings etc etc.

 

The claim will be stayed....not discontinued.

 

Your claim is Fast Track and the normal Notice of Discontinuance (N279) could make you liable for the other parties costs...but as costs are agreed within the part 36 its best to to let the court direct.

 

36.14

(1) If a Part 36 offer is accepted, the claim will be stayed.

(2) In the case of acceptance of a Part 36 offer which relates to the whole claim, the stay will be upon the terms of the offer.

(3) If a Part 36 offer which relates to part only of the claim is accepted, the claim will be stayed as to that part upon the terms of the offer.

(4) If the approval of the court is required before a settlement can be binding, any stay which would otherwise arise on the acceptance of a Part 36 offer will take effect only when that approval has been given.

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You do when you inform the claim as been settled by way of a part 36 offer..the court will advise.

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The paralegal sent me a very informal email of acceptance and did not fill out the notice of acceptance.

I have to be very cautious with this defence.

I have asked her twice to fill it out and send it to me to no avail

Is that enough for the court?

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The paralegal sent me a very informal email of acceptance and did not fill out the notice of acceptance.

I have to be very cautious with this defence.

I have asked her twice to fill it out and send it to me to no avail

Is that enough for the court?

 

You don't need the form. It's accepted in writing and the claim is stayed.

 

Just write to the Court to notify them of the Part 36 settlement and ask them to vacate any hearing that might be listed.

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https://www.justice.gov.uk/courts/procedure-rules/civil/rules/part36

 

Accepting Part 36 Offers

 

A party who wants to accept a Part 36 offer can do so in writing at any time. Note that if a party makes more than one offer, the other party can still accept an earlier offer, as long as that earlier offer has not been withdrawn or changed.If the trial has already started, however, then the court’s permission to accept the offer is required.

 

Also if the offer is made by one defendant to a claim of joint liability and the claimant wishes to continue the claim against the other defendants, it will again need the court’s permission to accept the offer.

 

Consequences of accepting a Part 36 offer

 

If the offer involves the defendant paying a sum of money to the claimant, it must pay that sum within 14 days of the date of acceptance (or any other date agreed between the parties),

 

Otherwise the claimant can enter judgment against it for that sum. So a defendant must make sure that it can pay the settlement sum within 14 days, before making or accepting a Part 36 offer.If the offer is accepted within the Relevant Period, the claimant is entitled to its costs up to the date it accepts the offer.

 

If the parties cannot agree the amount of costs, they will be assessed by the court on what is called the standard basis, which normally means that the claimant recovers about 60-70% of the actual costs he has incurred.If the offer is not accepted within the Relevant Period, or the offer is made less than 21 days before trial, then if the parties do not agree the liability for costs, the court will make an order as to costs.

 

The court rules make it clear that if the offer is accepted after the Relevant Period,then the presumption is that the claimant is entitled to its costs up to the date on which the Relevant Period expired, and the party accepting the offer is liable for the costs of the party making the offer for the period from the date of expiry of the Relevant Period to the date of acceptance.

 

Again, costs will be assessed on the standard basis if not agreed.Although the court rules only apply if court proceedings have been commenced, if a Part 36 offer is accepted before proceedings have been commenced then as long as the Part 36 offer was properly worded, the above consequences should apply on the basis of a contract between the parties.

 

Hello

let say that I ask for costs of £2000 after part 36 offer and the defendant offers a cost of £1500 without prejudice which I do not accept.

Are you stating that if the matter went to court on costs, I could only achieve £1400 maximum and would not get full costs?

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LIP in person are due costs for time spent on work done and disbursements. The rate is £19 per hour.

This includes court fees and application fees, expert fees etc.

We are 8 month since proceedings started and a lot of work has been done.

The figure i gave is not exact as this is a public forum.

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  • 2 weeks later...

Hello everyone

just an update

The defendant made a part 36 acceptance of my offer of the claim, however, we are taking the matter of costs to court for a detailed assessment. Part 36 says 14 days to pay a claim if accepted within the relevant period. However this defendant accepted out of time.

My question is should the claim not have paid out as the costs is now a separate matter. Or does the defendant have to wait until the whole thing is over, including costs.

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Costs consequences of acceptance of a Part 36 offer

 

36.13

 

(1) Subject to paragraphs (2) and (4) and to rule 36.20, where a Part 36 offer is accepted within the relevant period the claimant will be entitled to the costs of the proceedings (including their recoverable pre-action costs) up to the date on which notice of acceptance was served on the offeror.

 

(Rule 36.20 makes provision for the costs consequences of accepting a Part 36 offer in certain personal injury claims where the claim no longer proceeds under the RTA or EL/PL Protocol.)

 

(2) Where—

 

(a) a defendant’s Part 36 offer relates to part only of the claim; and

 

(b) at the time of serving notice of acceptance within the relevant period the claimant abandons the balance of the claim,

 

the claimant will only be entitled to the costs of such part of the claim unless the court orders otherwise.

 

(3) Except where the recoverable costs are fixed by these Rules, costs under paragraphs (1) and (2) are to be assessed on the standard basis if the amount of costs is not agreed.

 

(Rule 44.3(2) explains the standard basis for the assessment of costs.)

 

(Rule 44.9 contains provisions about when a costs order is deemed to have been made and applying for an order under section 194(3) of the Legal Services Act 20073.)

 

(Part 45 provides for fixed costs in certain classes of case.)

 

(4) Where—

 

(a) a Part 36 offer which was made less than 21 days before the start of a trial is accepted; or

 

(b) a Part 36 offer which relates to the whole of the claim is accepted after expiry of the relevant period; or

 

© subject to paragraph (2), a Part 36 offer which does not relate to the whole of the claim is accepted at any time,

 

the liability for costs must be determined by the court unless the parties have agreed the costs.

 

(5) Where paragraph (4)(b) applies but the parties cannot agree the liability for costs, the court must, unless it considers it unjust to do so, order that—

 

(a) the claimant be awarded costs up to the date on which the relevant period expired; and

 

(b) the offeree do pay the offeror’s costs for the period from the date of expiry of the relevant period to the date of acceptance.

 

(6) In considering whether it would be unjust to make the orders specified in paragraph (5), the court must take into account all the circumstances of the case including the matters listed in rule 36.17(5).

 

(7) The claimant’s costs include any costs incurred in dealing with the defendant’s counterclaim if the Part 36 offer states that it takes it into account.

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Hello everyone

just an update

The defendant made a part 36 acceptance of my offer of the claim, however, we are taking the matter of costs to court for a detailed assessment. Part 36 says 14 days to pay a claim if accepted within the relevant period. However this defendant accepted out of time.

My question is should the claim not have paid out as the costs is now a separate matter. Or does the defendant have to wait until the whole thing is over, including costs.

 

The settlement should be paid out regardless.

 

The costs are a separate issue that will be dealt with in time, although this is a small claim isn't it?

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Part 36 does not apply to claims which have been allocated to the small claims track

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No, its fast track

 

I know......my post was in response to post #17

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