MINISTRY OF JUSTICE
News Release (022/09) issued by COI News Distribution Service. 24
February 2009
New proposals to
control costs in defamation proceedings were announced by Justice
Minister Bridget Prentice today.
This follows widespread concerns about the high cost of legal
fees in defamation cases.
Justice Minister Bridget Prentice said:
"Excessive costs and their threat may force defendants to
settle unwarranted claims.
"The aim of these proposals is to bring more effective cost
control to litigation in defamation proceedings and to ensure that
costs in this area are more proportionate and reasonable.
"We need to ensure that people's right to freedom of
expression is not infringed, and media organisations continue to
report on matters of public concern.
I urge all those affected to comment on the proposals."
Measures under consideration are:
* Limiting recoverable hourly rates by setting either maximum or
fixed recoverable rates
* Mandatory cost capping or mandatory consideration of cost
capping in every case
* Requiring the proportionality of total costs to be considered
on cost assessments conducted by the court.
The consultation is necessary in addition to the current
arrangements to help achieve better costs control in this area of
the law.
The consultation is aimed at, in particular, legal
representatives who conduct litigation in the area of defamation,
media organisations, insurers and those in England and Wales with
an interest in, or views on, the proposals.
Notes to Editors
1. Link to Consultation Paper on Controlling Costs in Defamation
Proceedings: http://www.justice.gov.uk/publications/controlling-costs-in-defamation-proceedings.htm
2. There are around 220 defamation cases issued in the High Court
at the Royal Court of Justice each year. However, we have been
unable to ascertain either the total number of proceedings issued
or the number of defamation claims settled before court
proceedings are issued. We estimate that there around 300 such
claims a year.
3. The measures would be implemented by way of amendments to the
Civil Procedure Rules Practice Directions and protocols. Legal
representatives and clients, in particular those using CFAs in
such cases should find the process more transparent and be able to
make better informed decisions about the likely costs of the case
early in the proceedings.
4. The Ministry of Justice Press Office can be contacted on 020
33 34 35 36.
ENDS
http://www.justice.gov.uk