Anandh, (the Estate of ) & Anor v Barnet Primary Health Care Trust & Ors

The general rule is that costs follow the event. A departure requires sufficient reason arising from the circumstances of the case. Where no such reason is demonstrated, the general rule applies. Costs may be reserved, set off, or made payable after detailed assessment where appropriate.

The Court of Appeal considered written submissions on costs arising from appeals concerning repayment and overpayments claims. The appeals originated in the Chancery Division before Lloyd J. The court also addressed costs orders made below and costs relating to applications before Chadwick LJ and Master Bowman. The central issue was whether the circumstances justified departing from the general rule that costs follow the event.

1. General rule. Costs should follow the event. The submissions disclosed no sufficient reason to depart from that rule.
2. The appellant received the costs of the repayment appeal and related costs orders. The respondents received the costs of their overpayments appeal, while the appellant paid the costs of its permission and cross-appeal applications.
3. Costs of the overpayments claim to judgment were reserved. The costs order made by Lloyd J was replaced, and paragraph (2) of Master Bowman’s order was set aside.
4. Costs were subject to detailed assessment on the standard basis. The respondents’ costs were to be set against the appellant’s costs. Payment for unsuccessful but substantial and discrete judgment applications was deferred until detailed assessment.

• Court of Appeal (Civil Division): Determined the costs consequences of the appeals and related applications from proceedings in the Chancery Division before Lloyd J.