Security For Costs – An Update

Introduction

In the recent decision of Prest ("Mr Prest") v Pretrodel Resources Limited (in Liquidation) ("Petrodel")¹ His Honour Deemster Corlett reviewed the Manx law on Security for Costs, where an application was brought before the court under Rule 7.28 of the Rules of Court of Justice of the Isle of Man. 

The Court Rule and the Court's Discretion

The court has a wide discretion to grant a defendant security for costs under Rule 7.28(1)². It may grant an order for Security for Costs if: