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Fixed costs could be introduced in commercial court cases

12th October 2015

Commercial litigation could soon see fixed costs put in place

The judge in charge of the Commercial Court in the UK has recently stated that he thinks commercial litigation is heading towards fixed costs.

In a move that could affect lawyer professions and jobs in the future, Mr Justice Flaux told commercial lawyers at a Law Society conference that he is expecting a charge for recoverable costs to be introduced in the commercial sector.

Speaking to the Law Society Gazette, Mr Justice Flaux said, “My own view is that where we are heading is fixed costs; [with] a tariff for what is recoverable. The whole system of [costs] assessment will just go out of the window.”

Despite fixed costs seemingly set to be introduced into the Commercial Court in the near future, the judge revealed that it would be hard to make fixed fees work and that instead costs-capping orders should instead be used more to control excessive costs.

He added, “Anything other than a fixed costs regime would be appropriate.”