Great news – it is crucial that disbursements are separately recoverable across all claims in the LDFRC Scheme.
Fixed recoverable costs in lower damages clinical negligence claims – a supplementary consultation on disbursements: government response, updated 08.05.24.
The LDFRC (Lower Damages Fixed Recoverable Cost) Scheme (claims valued between £1,501.00 and £25,000.00) applies only to the pre-issue phase for eligible clinical negligence claims and to pre-issue costs. The fixed costs under the LDFRC scheme apply to all work done in the pre-action period up until the point at which the scheme is deemed to conclude, either at the point when a claim is settled at any time during the LVCD (Lower Value Clinical Damages) Protocol processes; or a claim form is issued by the court, or a stay of proceedings is lifted by the court (where limitation was due to expire imminently, and proceedings were issued protectively).
The government’s response to the wider consultation on fixed recoverable costs in lower value clinical negligence claims from September 2023 can be found here:
The May 2024 response sets out the views provided in the supplementary consultation on disbursements of fixed recoverable costs in lower damages clinical negligence claims and sets out the government’s proposed way forward for disbursements, based on this consultation’s findings:
A short summary can be found below:
Government Response September 2023 | Government Response May 2024
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All LDFRC Scheme claims | Concern that including disbursements within the fixed fees proposed would place extra pressure on costs.
Concern also raised about the bolt-on amount for claims involving protected parties and children, stating that, if essential disbursements in these claims (counsel and court) were to be covered by the bolt-on amount (£650), then this would be insufficient.
Wording on disbursements was not clear in the proposals. |
Expert report fees and ATE premiums covering the cost of expert reports will be separately recoverable (the wording will reflect that recoverable disbursements for medical expert advice should cover the report itself and costs associated within the production of that report).
Court fees relating to an application for pre-action disclosure will be separately recoverable.
Inquest costs and disbursements will be recoverable to the extent that they would be in the clinical negligence claims not subject to this FRC Scheme.
In the limited circumstances where limitation is due to expire imminently, the court fee for issuing proceedings, and any court fees incurred applying for or extending a stay of proceedings, where proceedings are started as a result of a limitation period that is about to expire, will be separately recoverable.
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LDFRC Scheme claims involving protected parties or children | Counsel fees in relation to Part 8 approval hearings will be separately recoverable.
Court fees in relation to Part 8 approval hearings will be separately recoverable.
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LDFRC Scheme claims that do not involve protected parties or children | Counsel fees incurred in the pre-action phase will not be separately recoverable.
Court fees will not be separately recoverable (except for the aforementioned circumstances under a)).
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Victoria Stewart, Costs Lawyer
16.05.2024