Eco Green Capital Limited v Angela Wetzel

For service of a claim form, the address supplied need not reproduce every descriptive element appearing in a land-register entry. The question is whether it uniquely and readily identifies the defendant’s usual or last known address. A correct postcode is mandatory, but the need for a street name is fact-sensitive.

On an application to set aside default judgment under CPR 13.3, the defendant must first establish a real prospect of successfully defending the claim. If that threshold is crossed, the court exercises its discretion by applying the Denton three-stage test, including the seriousness and significance of the default, its reason, and all the circumstances, including CPR 3.9. Promptness is a factor, not the first threshold.

The claimant sued for sums said to be due under an agreement for the installation and maintenance of renewable-heating equipment. Default judgment was entered after the claim form and Particulars of Claim were posted to an address which omitted the defendant’s street name but included her house name and correct postcode.

After enforcement agents seized goods, the defendant applied to stay execution and set aside the judgment. His Honour Judge Hanbury refused both applications and summarily assessed costs at £18,952.80. The defendant appealed, challenging the address used for service and the refusal to set aside judgment. The central issues were whether service was valid and whether the judgment should be set aside under CPR 13.3.

1. Service. CPR 6.6(2) requires an address, including a full postcode, at which the defendant may be served. The other descriptors required will vary with the circumstances. The central question is whether the details provide a unique and readily ascertainable identification of the usual or last known address. In a rural setting, a house name, village and postcode may suffice without a street name. The claim form was therefore properly addressed and was physically posted to the defendant’s home.
2. CPR 13.3 threshold. A real prospect of successfully defending the claim is a threshold condition. The judge below had not expressly adjudicated on that issue. The appellate court accepted, without deciding the merits in detail, that a triable issue had been raised, since a mini-trial would be disproportionate.
3. Discretion and Denton. Setting aside default judgment is an application for relief from sanctions. Once the threshold is crossed, the court must consider promptness under CPR 13.3 and apply the Denton three-stage test: the seriousness and significance of the breach; why it occurred; and all the circumstances, including CPR 3.9. Promptness is not a preliminary hurdle replacing the merits threshold.
4. The delay was very long and the breach serious and significant. The evidence established that the claim form had been delivered but left unopened among substantial accumulations of post. That provided a wholly unsatisfactory explanation for the default. The breach had prevented the litigation from being conducted efficiently and at proportionate cost.
5. The appeal was dismissed. The first-instance decision was not vulnerable to challenge, and the High Court would have reached the same conclusion. Ancillary costs matters could be determined on paper if unresolved.

• High Court (King’s Bench Division): Appeal from the order of His Honour Judge Hanbury dated 28 August 2024 dismissed; refusal to stay execution and to set aside default judgment upheld.