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Civil litigation brief

Gordon Exall looks in detail at Court of Appeal guidance on Part 36 offers and payments

28 March 2003

In Williams v Devon CC [2003] EWCA Civ 365 (CA 18 March 2003) the Court of Appeal considered difficult issues surrounding the interaction between the recoupment regulations and Pt 36. The issue was simple. The defendant paid £10,000 into court under Pt 36. This sum, coupled with the certificate of recoverable benefit, totalled £25,669.91. If the claimant had accepted that sum she would, after deduction of recoupable benefits, have received a balance of £10,000. At trial the judge awarded £23,058.39. However, because of the way the recoupment provisions work, with part of the damages claim being ‘ring-fenced’ the claimant ended up with £15,738.19 after recoupment. However, the trial judge held the payment into court had not been beaten and ordered the claimant to pay the defendant’s costs from the date of the Pt 36 payment. So we have the anomalous result that while the claimant ended up with more in her pocket than if she had accepted the offer, she was still found not to h...

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