APIL issue a Judicial Review to challenge FRC reforms
Judicial Review proceedings against the Lord Chancellor have been issued by APIL, challenging several aspects of the Fixed Recoverable Costs reforms that are due to be implemented on 1 October 2023.
Specifically APIL are challenging the following areas:
1. Clinical negligence – the failure to properly consult on the new rules and the lack of clarity about when fixed costs might be applied;
2. Vulnerability – the apparent irrecoverability of additional costs arising from vulnerable clients/witnesses and the fact that “vulnerability” will only be determined by the courts for the purpose of the FRC rules, after those costs have been incurred.
3. Inquest costs – the alleged unlawful exclusion from the new FRC regime for representation at inquests, and for restoring companies to the Companies Register. Whilst the Government appears to have conceded that these rules need to change, they have not been changed or suspended from the regulations to be introduced on 1 October.
4. Contracting out of FRC – the apparent reversal of Court of Appeal case law, without consultation, which allows parties to contract out of fixed costs when there is a dispute in settlement agreements, in favour of agreeing that costs will be subject to detailed assessment. This would be a radical infringement of freedom of contract.
Whilst JR proceedings have been issued, they have, by agreement, been stayed until three weeks after the Government responds to the MOJ’s July 2023 consultation which closes on 8 September 2023.
To read the full consultation click here https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1172811/draft-consultation-on-frc-issues-summer-2023.pdf
Author: Nick McDonnell
