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CSC Conference 2011

CSC Conference 2011. George Bladon 80 e Sales Manager. Radisson Hotel, Manchester 18 th May 2011. Background. Dec 2009 – Jackson Report May 2010 – General Election Oct 2010 – Young Report Nov 2010 – Govt Consultation Feb 2011 – Close of Consultation

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CSC Conference 2011

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  1. CSC Conference 2011 George Bladon 80e Sales Manager Radisson Hotel, Manchester 18th May 2011

  2. Background • Dec 2009 – Jackson Report • May 2010 – General Election • Oct 2010 – Young Report • Nov 2010 – Govt Consultation • Feb 2011 – Close of Consultation • March 2011 – Govt Response to Consultation • March 2011 – Consultation into Court system

  3. MOJ Consultation Response • 6 weeks from close of Consultation to MOJ’s Response • Heralded by Ken Clarke as “stamping out compensation culture fears” • 625 responses to the consultation paper of which 70% were opposed to Jackson’s proposals • However, the MOJ have decided to adopt Jackson’s proposals almost in full

  4. MOJ Consultation Response • Abolition of recoverability of success fees • Instead, success fees in pi cases will be recoverable out of client’s special damages, capped at 25% • Increase of 10% in general damages (except future care and loss) • Abolition of recoverability of ATE premiums (except for pre issue reports in clin neg cases)

  5. MOJ Consultation Response • Introduction of a system for qualified one-way costs shifting (except on grounds of behaviour or financial eligibility) • Introduction of system for contingency fees (DBAs - Damages Based Agreements) • Amendment to Part 36 Rules regarding offers • New test of proportionality on costs • No comment in relation to referral fees

  6. Reaction to Govt Response “devastating attack on access to justice” Linda Lee (President of Law Society) “very disappointed that Government have disregarded the needs of people injured in motor accidents” Donna Scully (Chair of MASS) “bitterly disappointing…” David Bott (President of APIL) “good news for genuine claimants” Nick Starling(Director of ABI) “@*#*!” Darren Werth (Chairman of CSC/AJAG)

  7. More Consultation • “Solving disputes in the county courts” • Opened 29/3/11 and closes 30/6/11 • Proposals include: • Extending RTA process to include non RTA cases • Extending the low value process from £10k to £25k • Introducing a dispute management process for case types up to £100k • Increase the small claims jurisdiction (excl pi), to £10k, £15k or £25k? • Enforced mediation for small claims

  8. The Future? • Primary legislation required so still opportunities to lobby Parliament • DAS active within AJAG – the Access to Justice Action Group • Earliest implementation likely to be 18 months • Continue with existing arrangements until new rules come into force • Consider what opportunities arise in the new landscape

  9. The Future for ATE – Plan B • Dependant upon how the legislation is drafted • What risks are there to insure? • ATE for disbursements only/Part 36 risks? • Cover for solicitors similar to PI? • ATE for clinical negligence claims? • ATE for commercial disputes? • Development/provision of mediation services?

  10. Access to Justice • Will defendant insurers provide access to justice? • The roles of CMCs and lawyers are vital in ensuring “victims” have access to justice “The dead cannot cry out for justice; it is a duty of the living to do so for them” Lois McMaster Bujold, 2002

  11. Questions ? George Bladon 80e Sales Manager www.80e.com

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