Points of Dispute (2024) and Contesting a Bill of Costs

Understanding Points of Dispute (Precedent G)

Upon receiving a Bill of Costs along with a Notice of Commencement, you'll encounter the amount requested by the receiving party and a deadline, typically set at 21 days from the date of service (usually totaling 23 days), to challenge the claimed amounts. You're not obliged to accept the Bill of Costs as presented and have the choice to raise Points of Dispute, which constitute formal legal contentions against the claimed amounts, to mitigate your costs liability. Neglecting to submit any points of dispute within the specified timeframe may prompt the receiving party to petition the Court for a default costs certificate.

What Points Should You Raise in Dispute?

Every item in a Bill of Costs can be scrutinized and challenged. To secure substantial reductions, it's advisable to focus on significant expenses. This often includes contesting hourly rates, the proportionality of costs to damages, and the amount claimed for Counsel fees and document time. Additionally, technical challenges can be raised regarding the validity of the retainer, potentially leading to the disallowance of claimed costs.

What Happens Next?

Once you have prepared your Points of Dispute, the receiving party is entitled to raise Points of Reply within 21 days of receipt of your submissions. Negotiations can continue throughout the detailed assessment process and settlement can be reached at any time. However, if no agreement can be reached, the receiving party is required to lodge for a Court assessment of their legal costs within 6 months of service of the Bill. It is strongly recommended that a payment is made on account of costs to reduce interest, which accrues at a rate of 8% from the date of the Order/agreement for costs to be paid.

How To Prepare Points Of Dispute?

How Can We Help?

At DMD Costs, our skilled team of Costs Lawyers and Draftsmen is dedicated to securing the best possible results. For Paying Parties, we ensure that your Points of Dispute adhere to CPR and practice directions, typically completing them within 7 days unless dealing with higher value matters.

For Receiving Parties, we offer assistance by preparing your Bill of Costs and further negotiating your costs through drafting Points of Reply to Points of Dispute.

You can reach us via email at info@dmdcosts.co.uk or by phone at 01204 397302. To learn more about our expertise and services, please visit our legal costs page.

Practice Direction 47.8 outlines the requirements for Points of Dispute, emphasizing brevity and adherence to the format outlined in Precedent G. Here are some tips to ensure compliance:

1. Follow the Correct Format: Use the structure of Precedent G to accommodate disputes, replies, and decisions by the Cost Officer during cost assessment.

2. Conciseness is Key: Points should be succinct, stating the issue clearly with supporting evidence. Failure to comply may prompt the Court to request a redraft.

3. Use Proper Terminology: Refer to parties as the paying party (preparing Points and covering costs) and the receiving party (receiving Points and costs).

4. Consider the Assessment Type: Determine whether the matter will undergo a provisional assessment (<£75,000) or a detailed assessment (>£75,000). For provisional assessments, include all evidence in your submissions as there won't be an opportunity for further elaboration.

5. Order of Points: Start with general points of principle affecting the entire Bill, such as proportionality or hourly rates. Then address specific items, creating a separate Point for each item requiring a reduction.

Why Instruct DMD Costs to Prepare Your Points of Dispute?

At DMD Costs, our team of experienced costs lawyers and draftsmen is dedicated to achieving favorable outcomes for our clients. Here's how we can assist you with your Points of Dispute:

1. Timely Preparation: We'll draft your Points of Dispute (Precedent G) within 7 days of receiving your instruction.

2. Expert Advice: We provide informed guidance on reasonable settlement ranges to help you navigate negotiations effectively.

3. Additional Negotiation Services: Upon request, we offer additional negotiation support to ensure the best possible outcome for your case.

4. Transparent Pricing: We operate on fixed fees for all preparatory work, providing clarity and predictability regarding costs.

5. Support for Litigants in Person: We offer guidance and support for litigants representing themselves, helping them understand best practices and the detailed assessment procedure.

For further inquiries, you can contact us via email at info@dmdcosts.co.uk or by phone at 07503 992804.