Summary of the fundamental changes to Costs Management from 6 April 2016 and the new format Precedent H which must be filed

The 83rd update to the CPR which will come into force on 6 April 2016 includes several changes which I have summarised in a previous blog Practical guide to the changes to the CPR – April 2016.  However, I thought it would be helpful to identify the essential changes as follows:

  • The budget will require filing 21 days before the CMC; or with the directions questionnaire if the value of the claim is worth less than £50,000.00;
  • Parties MUST negotiate and file the budget discussion report (Precedent R);
  • The new Precedent H must be used.

The updated Precedent H (budget) and Precedent R (discussion report) are now on the MOJ website.  The changes to the Precedent H are:

  • The costs of the Costs Management process are identified separately;
  • The assumptions are no longer on the front page of the Precedent H and are now included in the main body of the Precedent H;
  • There is an expert fee summary contained within the main body of the Precedent H;
  • The Precedent R is incorporated into the Precedent H.

The Precedent R is the document which must be filed following the now mandatory negotiations.  This identifies those areas of the budget that have been agreed and those that remain in dispute; the reasons to support the disputed stages have to be included.  The Precedent R can also be found on the MOJ website as a separate document.

Sue Fox is the Head of Costs Budgeting in the Costs and Litigation Funding department at Clarion Solicitors. You can contact her at sue.fox@clarionsolicitors.com and 0113 336 3389, or the Clarion Costs Team on 0113 246 0622.

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