Woolf Reform: Woolf on costs

There are two distinct sets of costs to think about in litigation. There are the legal costs, and there are the costs of clients' time and potential damage.

All of these costs can be exacerbated by by parties and their advisers dragging proceedings out for years. Procedural judges now have several sticks with which to beat litigants and their lawyers ranging from slapping extra costs on to someone's bill, to throwing out the entire case.

Litigants who don't comply could face significant costs consequences. In making an order for costs, the court can look at the conduct of the parties before as well during the proceedings.

If one party fails to accept a realistic offer to settle, or if they refuse to go to mediation without a good reason, sanctions are likely to be applied which may mean the case being struck out.