Withdrawing Admissions – Material Change In Claim Value

Wood v Days Healthcare UK Ltd & Ors [2017] EWCA Civ 2097

The Court of Appeal has found that a material increase in the value of a claim is a relevant factor when considering an application to withdraw an admission of liability.

The Defendant's insurers appointed a loss adjuster to deal with a personal injury claim against the Defendant. The loss adjusters were told by the Claimant's solicitors that it was expected that the claim would fall within the fast track (i.e. have a limit of £25,000). Three months later, the loss adjusters formally conceded liability. When the Claimant commenced proceedings, a claim in excess of £300,000 was brought.

The Defendant subsequently applied for permission to withdraw this pre-action admission, pursuant to CPR r14.1A, but permission was refused by the judge at first instance. The Defendant appealed and has now won that appeal.