Contents and timing of Replies to Points of Dispute

The Association of Costs Lawyers recently set up a working party, which I was roped into, on the new(ish) provisional assessment process.

One of the problems identified (although this is not strictly a problem limited to provisional assessment) is the timing and content of Replies to Points of Dispute.

CPR 47.13 states:

“(1) Where any party to the detailed assessment proceedings serves points of dispute, the receiving party may serve a reply on the other parties to the assessment proceedings.

(2) The receiving party may do so within 21 days after being served with the points of dispute to which the reply relates.”

What are the consequences of serving outside 21 days?

As to content, PD 47 para.12.1 states:

“A reply served by the receiving party under Rule 47.13 must be limited to points of principle and concessions only. It must not contain general denials, specific denials or standard form responses.”

Other than the very limited examples given in Precedent G, what does this allow and not allow?

The decision in Pipe v Electrothermal Engineering Ltd (SCCO, 2014) from Costs Judge Master Rowley gives some guidance on the issue. At the risk of doing a serious injustice to a very carefully considered, reserved, judgment, it might be summarised as: serve what you like when you like and the only adverse consequence is likely to be in costs.

Of course, this is not a binding decision (even on Master Rowley) and I have had different results before other judges. The Regional Costs Judge in Manchester struck out Replies that had been served late and without permission and ruled that if the receiving party wished to rely on the same they would need to make a formal application for permission to serve late. The Senior Costs Judge Master Gordon-Saker disallowed late Replies where the application for permission to rely on the same was made orally at a detailed assessment hearing, as there was no good reason for late service. He did observe that the argument was really about the costs of the late Replies, as opposed to the admissibility of the same. Replies are optional and the receiving party could simply recite orally the contents of the Replies even if permission for late service was refused. Nevertheless, the consequence was that the costs of drafting the Replies would not be recoverable and the outcome for the receiving party might have been different if the matter was proceeding to provisional assessment (where there would have been no opportunity to make oral submissions).

In any event, this is a helpful judgment and sets out the competing arguments.


5 thoughts on “Contents and timing of Replies to Points of Dispute

  1. Pingback: CIVIL PROCEDURE, COSTS & SANCTIONS: LINKS TO RECENT ARTICLES AND POSTS | Civil Litigation Brief

  2. Despite being mostly Claimant and drafter of Replies rather than points, I do think it could be argued that this case swings the pendulum too far the other way.

    I’ve always argued that the language permits service of Replies outside 21 days without sanction or requiring permission. Quite simply and plainly it does so this limb of the decision is no surprise.

    In respect of content, I have come a cropper myself and had 2 Replies struck out where:

    1. D stated a med agency was an AMRO agency and the fee was fixed. The Reply stated that the agency was not AMRO and as such the fee was not fixed.

    2. D stated that the Claimant lived in a Band 2 area so Band 2 rates ought to apply. The reply stated C lived in a Band 1 area so the Band 1 rates applied.

    According to the judge who struck those out they were respectively a specific denial and a reply to a general (not preliminary) point and the judge conducting the PA would know the agency was not AMRO and that the Claimant was Band 1.

    Clearly there should be some middle ground between Master Rowley’s case and my experience where factual errors and questions can be answered without getting Replies that state “All of the letter claimed here are entirely reasonable blah blah…”?

  3. I’ve just received replies to points of dispute nearly a year late and they are telling me they don’t need to make an application to rely upon them. I’ve said they do. Paying party considered the matter settled as payment of offer had been made and nothing further heard until now.

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