Government gives Jackson the green light
Government gives Jackson the green light and launches far
reaching consultation on reforming Civil Justice
The Lord Chancellor Kenneth Clarke announced
on behalf of the Ministry of Justice this week that the Government
was committed to enacting the Jackson proposals and revamping the
Civil Justice system, which is desperately in need of an
overhaul.
The MOJ consultation into Jackson’s proposals
attracted 600 responses, and the end result of the consultation is
that the recovery of success fees from losing parties will be
abolished, general damages will be increased by 10% and that new
test for proportionate costs amongst other initiatives.
Rob Williams, head of the costs team
at law firm Weightmans LLP, said of the proposals:
“The government appears to be almost
completely sold on Jackson, despite a firestorm of claimant lobby
furore at the consultation’s proposals. Balance has
been restored to a civil justice system which had become out of
kilter on many levels.
“There are clear opportunities to reduce spend
on claimants’ legal costs but effective implementation will be key,
with the detail yet to be addressed.”
This week has also seen the Government declare
a consultation on the potential reform of the civil justice system
open, focussing on promoting dispute resolution and debt recovery
solutions.
The consultation seeks to mould together the
recommendations for reform made by Lord Justice Jackson, Lord Young
and the Legal Aid Reform consultation so that all proposals operate
in tandem.
The main facets of the new Civil Justice
system proposed by the Government appear to include preventing
costs escalation by extending the range of options available to
parties and increasing the small claims track limit, increasing the
use of Alternative Dispute Resolution methods, stronger enforcement
to ensure that creditors recover monies owed after the court orders
have been given and lastly changing the structural and
jurisdictional make up of the courts.
Rob explains:
“The consultation represents a bold plan to
transform an ailing system and to bring it up to date by using
technology, increased mediation and streamlining of processes which
will ensure that the majority of cases are dealt with
efficiently.
“This consultation therefore represents an
opportunity to further reduce third party legal costs spend, whilst
more modern claims handling and court processes will reduce life
cycles and handling costs.”
If you would like further information on these
decisions or a copy of our briefing, please contact Rob.williams@weightmans.com