Litigation survival guide - part 13. Offers to settle under Part 36

In any litigation, but possibly more so in times of economic downturn, considering offers of settlement is crucial. If an offer is accepted you will save on legal and management costs. If you are the receiving party you obtain payment quicker. If an offer is made under Part 36 of the Civil Procedure Rules (CPR) and your opponent does not accept the offer but then fails to obtain a more (or equally) advantageous outcome at trial, you are likely to be awarded your costs. For a claimant, this can include indemnity costs and enhanced interest on those costs. Failure to make or accept reasonable offers of settlement at an appropriate time can therefore have serious costs consequences.

Wragge & Co's experts provide points to remember when considering or making a Part 36 offer of settlement.