Mounting Court Costs.
Behind every great lawyer there is a woman – lugging an immense pile of court papers.
Those papers are known as the ‘court bundle’ – and since april of this year, there have been strenuous efforts to diminish the size of those bundles. Nobody is seriously concerned about the health of the impoverished junior who has to bring them to court every day; but the larger the bundle, the more people who have to read it and ensure they haven’t missed a salient point, then the more expensive the court costs.
After April 2014, a new practice direction was supposed to reduce those bundles to 350 pages. In effect – bullet points.
There have been some eye watering court costs in recent times. £920,000 in a divorce case between a market gardener and his wife over a property with an agricultural tie that was never going to be worth more than 2.9M no matter which way it was valued or revalued. Another £925,000 in a case which was only in the preliminary stages.
You could say that these people bring it on themselves – they have money, or at least assets, and if they wish to squander them on paying endless experts and lawyers to rake through their credit card statements to resolve civil disputes, so be it.
But what of people who don’t ‘bring it on themselves’? Surprisingly, I am not even speaking of those such as Dave Lee Travis or Michael Le Vell who have received horrendous legal bills as a result of allegations made against them of a sexual nature and been caught up in the ‘Yewtree’ whirlpool.
I am talking about people who don’t even realise or appreciate that they are involved in a court case – entirely innocent, utterly blameless individuals. Their numbers increase with monotonous regularity. They are those who have been judged to lack mental capacity and for whom decisions have to be made by the Court of Protection.
Two such young men this week – who, to put it crudely, don’t even know what day of the week it is, have incurred legal bills approaching three quarters of a million pounds – and neither of them would have been aware that they or their affairs were even having a ‘court outing’.
The Mental Capacity Act has dictated that the Court of Protection be brought into adjudicate when there is a difference of opinion between, say, the local authority and members of a person’s family over where they should live.
That can be for a variety of reasons. Perhaps the local authority wants to send Sonny Jim, as I shall call our fictitious client, to a remarkably cheap care home in the Outer Hebrides and his devoted parents are quite rightly complaining bitterly that this will affect his contact with them and thus his quality of life and demanding the court stop them doing so.
Sadly, you can also have the situation where Sonny Jim is seen as a valuable commodity by an unscrupulous relative; well aware that his needs are simple yet he comes accompanied by a raft of Disability Benefits, rights to a splendid new Land-rover on the Mobility allowance – and perhaps even extensive rebuilding and redecorating of the family home from substantial damages awarded if young Jim lost capacity as a result of provable negligence. Here you might find that it is the local authority who is complaining that the ‘unscrupulous relative’ is not looking after Jim properly and demanding that the court give them authority to rescue him from this situation.
Either way – Sonny Jim is a hostage to the lawyers – and he doesn’t even know it.
Yesterday, Mr Justice Jackson took the subtle judicial route of ‘blowing his top’ – and published an anonymised judgement concerning the costs and delays in these sort of cases.
In Case A, the proceedings lasted for 18 months. In round figures, the estimated legal costs were £140,000, of which about £60,000 fell on the local authority, £11,000 on a legally-aided family member, and £69,000 on the young man himself, paid from his damages.
In Case B, the proceedings lasted for five years. In round figures, the estimated legal costs were £530,000, of which about £169,000 fell on the local authority, £110,000 on a family member (who ran out of money after three years and represented himself thereafter), and £250,000 on the young man himself, paid for out of legal aid.
Each case therefore generated legal costs at a rate of approximately £9,000 per month. In Re PB [2014] EWCOP 14 Mrs Justice Parker said:
“All those who practice in the Court of Protection must appreciate that those who represent the vulnerable who cannot give them capacitous instructions have a particular responsibility to ensure that the arguments addressed are proportionate and relevant to the issues, to the actual facts with which they are dealing rather than the theory, and to have regard to the public purse, court resources and other court users.”
The young man in case B is said to have a mental age of 8 – can you imagine the outcry if it took five years and half a million quid to decide where an eight year old should live? Can you imagine the outcry if his relative was financially ruined to the tune of £110,000 by lawyers – and then had to spend another two years appearing in court representing himself to resolve where this eight year old should live?
The young man in case A had earlier been awarded damages to improve the quality of his life – did anyone imagine he would have to spend almost £70,000 of his damages for a lawyer to argue interminably with the local authority as to where he should live?
Sir James Munby has said there has been a ‘fundamental change in the cultures of the family courts’. They are making strenuous efforts to limit costs in civil disputes.
It doesn’t seem to have permeated to the Court of Protection – of which Sir James Munby is now President – where lawyers continue to reenact Jarndyce v. Jarndyce untroubled by clients capable of putting a stop to their time-wasting antics.
About time it did.
- FrankH
November 28, 2014 at 3:39 pm -
I’m currently reading Dickens’ Bleak House. I hear echoes of Jarndyce and Jarndyce. Lawyers haven’t changed much since Dickens’ day, have they? Most of them don’t seem to care how much they cost their clients. So long as somebody has the money to pay their bills, everything is right with their world.
- Ted Treen
November 28, 2014 at 10:40 pm -
And everything will continue to be right with their world whilst our parliament is filled with a disproportionate number of lawyers.
- FrankH
November 29, 2014 at 2:31 am -
That’s the only reason that it’s still illegal to shoot them.
- FrankH
- Ted Treen
- Moor Larkin
November 28, 2014 at 3:51 pm -
The most shocking thing about the outcome of the Plebgate Libel trial yesterday was not that Mitchell lost but rather that he will have costs from the other side approaching 2 or 3 £M, depending on which pundit you listen to. The judge ordered Mitchell to fork out £300k on account, a sum sufficient to bankrupt me for sure. It seems the real Elite in this country is the Legal Profession. They charge what they like and have the power to take it from you to boot.
It also made me wonder about the No Win No Fee outfit that persuaded him to take up the legal cudgels. The system looks wide open to corruption too. Viz. Jarndyce saying to Jarndyce, “Persuade him to sue and if we’ll split the result between us old chap. Can’t lose can we, what?”
- Jonathan Mason
November 29, 2014 at 4:49 am -
Here’s my take on Plebgate. “Fucking plebs” is a pretty odd phrase for an experienced politician to use, and I don’t think Mitchell did. He also produced a number of witnesses who said they had never heard him use that word.
I think he called them “fucking peons” which makes much more sense. He is a former banker and in banking circles the word “peons” is used to refer to small account holders, though in this case he would have meant it in the more generic sense of small people of no account, spear carriers on the political stage. Still an insult, but rather more relevant to the situation and not so indicative of class warfare.
So, he knew the police were lying, but on the other hand he could not come out and say what he really said either as it would look like hair-splitting, so the legal strategy, which failed, was just to say that they were lying, period.
Of course if he had not made a habit of rubbing the police up the wrong way, including his own security detail, he would not have ended up in such a pickle, but he is/was probably a very intellectually high-powered and busy guy who resented being slowed down in getting his important government business done by what he saw as pointless obstructionism by gatekeeping coppers. Perhaps he would do better as a high-ranking civil servant than as a politician.
Interestingly I understand Hillary Clinton is also hated by her security detail.
- Moor Larkin
December 1, 2014 at 9:03 am -
When I was about 12 an elderly person who lived on our street came and told my parents that I had told her to “**ck off” as she attempted to speak to me, as I cycled around her on the pavement. My parents were of course shocked and embarrassed that I had behaved in such a way and (perhaps worried I was becoming a Tory) took me to task. When I told my parents my version of the story (in which I spoke no such words) they believed me. I’ve come to the conclusion that they must have been almost unique in the 1970’s. They believed the child, not the adult.
- Moor Larkin
- woohoo02
December 5, 2014 at 10:04 pm -
Bingo, that is why they say-shoot the lawyers fist!!
- Jonathan Mason
- Joe Public
November 28, 2014 at 5:37 pm -
Perhaps the judge could get both parties (sans lawyers) into a room and state: “This case will cost you two ‘x’ £hundred-thousands to resolve, would you like me to toss a coin to decide the outcome?
- The Blocked Dwarf
November 28, 2014 at 7:15 pm -
Joe, you have, in a single sentence, just about completely summarized the entire corpus of Old Testament ‘civil’ law. Old Testament law, we recall, culminated in the *permanent* division of goods and chattels in a judgement still regarded as ground breaking- and with no lawyers present.
- The Blocked Dwarf
- Opus
November 28, 2014 at 5:43 pm -
Moor is not a lawyer: the people to blame are the Taxing Masters (and the costs draftsmen). It is an inverse rule of the legal profession that every time rules are made to limit costs (or bundles) the costs will rise and the bundles enlarge; in exactly the same way, the invention of computer software and photo-copying has merely increased legal documents to lengths previously undreamed of.
Bringing proceedings for Defamation when that defamation is Slander (rather than Libel) and when there is no denying that tempers were raised is (at least – as always – in hindsight) tempting providence. For some (I imagine) Two Million Pounds of costs is not that much.
- Engineer
November 28, 2014 at 9:25 pm -
In cases were the clients are of sound mind and reasonable intelligence, they are as much to blame as the lawyers. The clients do have the option of saying, ‘No’ or ‘Enough – no more’. The Landlady’s point about those of less capability on whose behalf cases are brought does have weight though.
(It’s not just the legal profession that suffers undue paper. I recall the company management being less than amused when a cartoon appeared in the drawing office showing a fork-lift loading an articulated lorry with bulk pallets of documents. In the foreground, two figures were conversing, one holding a small pressure vessel about the size of a kettle – “Here mate, could you put this in your cab. It goes with the paperwork.”)
- Peter Raite
December 1, 2014 at 11:01 am -
I can recall how once computers were touted as a route to a “paperless office,” in the sense of no paper. Over time this morphed into “paper-less” – an implication there would be paper, just not so much of it. That never worked out, either.
- Peter Raite
- Ancient+Tattered Airman
November 28, 2014 at 9:44 pm -
Billy boy was right. Hang all the lawyers!
- Ancient+Tattered Airman
November 28, 2014 at 9:49 pm -
William Shakespeare, when he first wrote it in his play, Henry VI, Part 2 Act 4, Scene 2
- Ancient+Tattered Airman
- Andy
November 28, 2014 at 10:27 pm -
I was staggered by this item in the newspapers today:
http://www.telegraph.co.uk/news/uknews/law-and-order/11258436/Sir-Chris-Hohns-wife-awarded-337-million-in-divorce-cash-fight.htmlThe woman was demanding £350 million as a divorce settlement, but was only awarded £337 million, and her lawyers are considering appealing – obviously an opportunity for them to obtain a few million more in fees. The poor woman would obviously not be able to manage on only £337 million!
- Peter Raite
December 1, 2014 at 11:07 am -
Those sort of figure are just mind-boggling. You could see someone far less well off might think that still pursuing £35,000 when they’re offered £33,700 buy in practical terms what is an extra £13 million going to mean on top of £337 million? Most people in this country could much more comfortably than they do already if they won just 1% of that on the Lottery.
- Peter Raite
- Cascadian
November 28, 2014 at 10:54 pm -
Perhaps the government should enact a (I dunno exactly), errr……. something like a Court of Protection to preserve the funds awarded to these unfortunate and uninformed litigators.
Ooooooh, I see. Another quango that deliberately misunderstands it’s mandate, while a futile government insists on being and arms-length.
yUK at it’s finest.
- Fat Steve
November 29, 2014 at 10:01 am -
Question How many lawyers does it take to change a light bulb ? Answer How many can you afford?
More seriously the practice of law has become an end in itself and not a means to the end of Justice…..in fact perhaps an obstacle to justice There could be a number of solutions including for instance the Tort damages system adopted in New Zealand (yes I know its riddled with fraud but that doesn’t mean it couldn’t be made to work), a system of fixed fees for certain cases thereby ensuring costs recovered or recoverable were a less important determining factor in the administration of Justice and an Inquisitorial rather than Adversarial system.
I always chuckle (weep?) when I hear some pompous politician spout the words Democracy and the Rule of Law (actually rather more accurate than they realise as they utter the pat phrase) as if either has any great credibility in this sceptred isle. .
If the Law was like any other industry it would have gone to the wall long ago …more likely the country will go to the wall before the practice of Law in it.
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