(Pre-Woolf)
Jake Pegg, chief executive of Pegg Legs Ltd, has come to see his lawyer about suing his 50/50 joint venture partner, Long John plc. 'Take them for every penny!' says Jake. The lawyer, Mr. Hammard, suggests that it might be better to go to mediation, but Jake wants his day in court.
Hammard fires off a writ, claiming £60,000 for loss of earnings, and in due course an acknowledgement of service comes back, followed by a sketchy defence and a counter-claim for £70,000. Jake has blue fits and refuses to consider ADR. 'I want his blood!', he snarls. For the next year and a bit the lawyers exchange bits of paper and traipse back and forth to counsel's chambers and the court, while the costs quietly tick up.
Discovery is getting out of hand - Long John insists on seeing Pegg Legs documents stored in the Peru office .... and on it goes, with affidavits, adjournments, injunctions, further discovery and expert witnesses.
Five years later, Jake has gone grey, his wife and kids have left him, profits are down 60% - but he's got a trial date...
Another year later, he gets Long John into court and after a fraught and expensive 3-week trial, wins - £40,000. Which is less than the costs of the case.
(ADR)
Jake Pegg, chief executive of Pegg Legs Ltd, has come to see his lawyer about suing his 50/50 joint venture partner, Long John plc. 'Take them for every penny!' says Jake. After a look at the case, the lawyer, Mr. Hammard, suggests that it might be better to go to mediation, but Jake wants his day in court.
Hammard explains what will have to be done before they can even serve a claim, and how much it is likely to cost. Jake goes a bit pale: 'What was that you said about mediation?'
Jake and Hammard put together a strong letter of claim, and Hammard's opposite number persuades Long John that ADR is his best option.
It takes a month to prepare, and a day face to face, with a neutral third party to mediate. At the end of the day, Jake receives compensation without incurring significant legal costs, and has entered into a new lucrative contract with Long John plc.
For further information please contact Mike Henley, e-mail: Click Contact Link , Tel: + 44 113 284 7000
This article was first published in a special supplement to the March 1999 Hammond Suddards Commercial Dispute Resolution Newsletter
The information and opinions contained in this article are provided by Hammond Suddards. They should not be applied to any particular set of facts without appropriate legal or other professional advice.
Jake Pegg, chief executive of Pegg Legs Ltd, has come to see his lawyer about suing his 50/50 joint venture partner, Long John plc. 'Take them for every penny!' says Jake. The lawyer, Mr. Hammard, suggests that it might be better to go to mediation, but Jake wants his day in court.
Hammard fires off a writ, claiming £60,000 for loss of earnings, and in due course an acknowledgement of service comes back, followed by a sketchy defence and a counter-claim for £70,000. Jake has blue fits and refuses to consider ADR. 'I want his blood!', he snarls. For the next year and a bit the lawyers exchange bits of paper and traipse back and forth to counsel's chambers and the court, while the costs quietly tick up.
Discovery is getting out of hand - Long John insists on seeing Pegg Legs documents stored in the Peru office .... and on it goes, with affidavits, adjournments, injunctions, further discovery and expert witnesses.
Five years later, Jake has gone grey, his wife and kids have left him, profits are down 60% - but he's got a trial date...
Another year later, he gets Long John into court and after a fraught and expensive 3-week trial, wins - £40,000. Which is less than the costs of the case.
(ADR)
Jake Pegg, chief executive of Pegg Legs Ltd, has come to see his lawyer about suing his 50/50 joint venture partner, Long John plc. 'Take them for every penny!' says Jake. After a look at the case, the lawyer, Mr. Hammard, suggests that it might be better to go to mediation, but Jake wants his day in court.
Hammard explains what will have to be done before they can even serve a claim, and how much it is likely to cost. Jake goes a bit pale: 'What was that you said about mediation?'
Jake and Hammard put together a strong letter of claim, and Hammard's opposite number persuades Long John that ADR is his best option.
It takes a month to prepare, and a day face to face, with a neutral third party to mediate. At the end of the day, Jake receives compensation without incurring significant legal costs, and has entered into a new lucrative contract with Long John plc.
For further information please contact Mike Henley, e-mail: Click Contact Link , Tel: + 44 113 284 7000
This article was first published in a special supplement to the March 1999 Hammond Suddards Commercial Dispute Resolution Newsletter
The information and opinions contained in this article are provided by Hammond Suddards. They should not be applied to any particular set of facts without appropriate legal or other professional advice.
