The Ministry of Justice (MoJ) has confirmed that it will implement a blueprint for fixed recoverable costs (FRC) across the fast-track and in most money cases worth up to £100,000 in a bid to reduce the cost of litigation and create more certainty about what losing parties must pay.
It does not specify a date for implementation, saying only that it “will work with the Civil Procedure Rule Committee to ensure the smooth delivery of these reforms”.
All fast-track cases will be placed into four bands of complexity, band 1 being the least complex and band 4 the most, with the level of FRC depending on the stage the case has reached.
Cases will be banded like this:
- Band 1: the simplest claims that are just over the current fast track limit, where there is only one issue and the trial will likely take a day or less, e.g. debt claims.
- Band 2/3: along with band 3 will be the ‘normal’ band for intermediate cases, with the more complex claims going into band 3.
- Band 4: the most complex, with claims such as business disputes and employer’s liability disease claims where the trial is likely to last three days and there are serious issues of fact/law to be considered.
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