Costs and case management conferences

Costs and Case Management Conferences

Costs and Case Management Conferences (CCMCs) are critical procedural hearings in civil litigation where the court addresses the management of the case and the control of legal costs. These conferences are governed by the Civil Procedure Rules (CPR), particularly Parts 3 and 29, and are especially relevant in cases allocated to the fast track, intermediate track, or multi-track. CCMCs aim to ensure that cases proceed efficiently, costs are kept proportionate, and all necessary steps are taken to prepare the case for trial.

Purpose of CCMCs

CCMCs serve several key purposes:

• ★ Case Management: To establish a clear timetable for the case, setting deadlines for key procedural steps such as disclosure, exchange of witness statements, and expert evidence. The court uses the CCMC to give directions tailored to the specific needs of the case.
• ★ Cost Management: To control the costs of litigation by reviewing and approving parties' costs budgets, ensuring that the costs incurred are proportionate to the complexity and value of the case. The court may impose limits on recoverable costs.
• ★ Narrowing Issues: To narrow down the issues in dispute, identify the key points of contention, and encourage settlement where possible. The court may discuss the potential for alternative dispute resolution (ADR) to resolve or narrow the issues.
• ★ Ensuring Compliance: To monitor compliance with previous court orders and ensure that the case progresses according to the established timetable. The court may issue warnings or impose sanctions for non-compliance.

Procedure for CCMCs

The procedure for a CCMC typically includes the following steps:

• ★ Preparation of Costs Budgets: Each party must prepare and file a costs budget, setting out the estimated costs for each stage of the proceedings. The budgets must be exchanged with the other parties and filed with the court in advance of the CCMC. The budgets should be detailed and realistic, reflecting the anticipated work required.
• ★ Case Management Directions: The court reviews the case's progress and issues directions for the future conduct of the case. These directions may include deadlines for disclosure, exchange of witness statements, and expert reports. The court may also set a trial window or a specific trial date.
• ★ Costs Management Order (CMO): The court may issue a Costs Management Order, approving or modifying the parties' costs budgets. The CMO sets the limits on recoverable costs and provides a framework for the proportional management of costs throughout the case. The court will consider the reasonableness and proportionality of the budgets.
• ★ Discussion of Issues: The court and parties discuss the substantive issues in the case, exploring ways to streamline the proceedings and potentially resolve some or all of the disputes. This discussion helps clarify the case's focus and may lead to agreements on certain issues.
• ★ Encouraging Settlement: The court may encourage the parties to consider ADR options, such as mediation, to resolve the dispute or narrow the issues. The court may adjourn the CCMC to allow for ADR or set a date for a further case management conference.

Role of the Court in CCMCs

The judge plays a proactive role in CCMCs, ensuring that the case is managed effectively and efficiently. The court's responsibilities include:

• ★ Active Case Management: The judge actively manages the case, issuing directions that are clear, achievable, and appropriate for the case's complexity and value.
• ★ Reviewing Costs Budgets: The judge scrutinizes the costs budgets submitted by the parties, ensuring that the costs are proportionate and reasonable. The judge may adjust the budgets if they are deemed excessive or inadequate.
• ★ Facilitating Progress: The judge ensures that the case progresses according to the established timetable, addressing any delays or non-compliance with court orders.
• ★ Promoting Efficiency: The judge seeks to streamline the proceedings, focusing on the most important issues and minimizing unnecessary steps. This helps reduce costs and expedites the resolution of the case.

Consequences of Non-Compliance

Non-compliance with CCMC directions or orders can result in significant consequences, including:

• ★ Sanctions: The court may impose sanctions for non-compliance, such as limiting the recovery of costs, striking out a claim or defence, or debarring a party from participating in certain aspects of the case.
• ★ Adverse Costs Orders: A party who fails to comply with directions may be ordered to pay the costs incurred by the other parties as a result of the non-compliance.
• ★ Delays in Proceedings: Non-compliance can lead to delays in the case's progress, potentially extending the overall timeframe for resolution and increasing costs.

Conclusion

Costs and Case Management Conferences are essential components of the civil litigation process, providing a structured approach to managing cases and controlling costs. By setting clear directions, reviewing costs budgets, and focusing on the key issues, CCMCs help ensure that cases proceed efficiently and fairly. The active involvement of the court and the cooperation of the parties are crucial to the success of these conferences, helping to minimize delays and unnecessary expenses, and facilitating the just resolution of disputes.