This was a hearing of preliminary issues in detailed assessment proceedings. It came before Costs Judge James in September 2020. However, for various reasons, the judgment has only recently been handed down.
The underlying proceedings arose from the tragic death of Amanda Briley, who suffered from mental health difficulties, including Asperger’s Syndrome. From 2012 to 2016, Amanda experienced numerous self-harm and suicide attempts, leading to multiple inpatient stays at the Bradgate Mental Health Unit. On 26 December 2016, Amanda was found having ligatured herself and was declared deceased on 28 December 2016. A serious incident investigation identified failings in communication, suitability of placement, delay in funding for specialist care, and safeguarding concerns.
The concerns surrounding these tragic events led to an investigation and a future Inquest touching upon Amanda’s death. Bhatt Murphy was instructed to act on behalf of Amanda’s family (the Claimants) in a claim against the Defendants for declaratory relief and damages, including aggravated damages. The claims were brought pursuant to various legal acts, including the Law Reform (Miscellaneous Provisions) Act 1934, the Fatal Accidents Act 1976, the Human Rights Act 1998, and the Equality Act 2010.
The proceedings were initiated on 8 December 2017, with various legal actions and negotiations taking place throughout 2018, culminating in the acceptance of the Defendants’ Part 36 offer by the Claimants on 16 November 2018, finalising the settlement terms.
The issues to be determined at the hearing before Costs Judge James, so far as are relevant here, were the appropriate hourly rates to be applied and the recoverability of costs related to attendance at two pre inquest reviews (the matter having settled prior to the inquest itself), which included argument both as to principle and proportionality.
The judgment is lengthy and includes many interwoven arguments and counterarguments as to reasonableness and proportionality both in terms of the decision to instruct London based solicitors, Bhatt Murphy, and the resultant hourly rates, as well as the ability to recover the costs of attendance at the Pre Inquest Reviews.
Here are some of the main points of interest.
The Defendants challenged the relevance of INQUEST’s recommendation of Bhatt Murphy to the Claimants, arguing that as Mr Bhatt of Bhatt Murphy was a founding member this did not assist them. Furthermore, the Claimants would not have paid attention to hourly rates give its importance to them and the fact that the case was to be funded either by Legal Aid or a CFA.
The Judge found that such referral was a relevant consideration and that the instruction of Bhatt Murphy was objectively reasonable.
“I find first of all that it was objectively reasonable for the Claimants to instruct Bhatt Murphy. The firm has a national reputation for this kind of work and was recommended to the Claimants by INQUEST. I do not find the fact that Mr Bhatt of Bhatt Murphy is a force behind INQUEST to be troubling on the facts in this case; there are many interest groups, pressure groups and charities working with different kinds of litigants (Defendant as well as Claimant groups) and the fact that a high-profile firm or Solicitor has close ties to one such group, is of no concern here. INQUEST maintains a database of expert lawyers for such cases; they recommended Bhatt Murphy, and that recommendation is a fact upon which the Claimants are entitled to rely in accordance with the principles in Wraith.”
The Defendants disputed the hourly rate charged by Ms Phillips, a Solicitor at Bhatt Murphy. They asserted that since the Claimants resided in Leicester, it was not objectively reasonable to instruct a London-based firm, and the rate of £350.00 per hour was excessive given the availability of more local representation.
Again, Costs Judge James was not persuaded.
“The Defendants suggested that a number of other firms, including Duncan Lewis and Irwin Mitchell, could have handled this ‘Clinical Negligence’ matter. The problem with that is that this is not a Clinical Negligence claim and there are issues involving Human Rights and the Equality Act/disability discrimination. Most significant of all, this is a case involving a death in mental health custody (and I reiterate, whether Amanda was being ‘held’ under Section is not determinative in any way, on the facts it was not safe for her to come home for more than a short time)…
“…Taking Irwin Mitchell, for example, they have offices in Sheffield and to their credit when work is done in Sheffield, they apply rates lower than the rates for work done out of their London offices. However, they are a specialist firm and they do not tend to charge GHR for their services; sometimes they recover rates very substantially in excess of GHR, depending upon the type of case. Had they been approached by the Claimants in such a tragic and high-profile case, it is foreseeable that they might have decided that it warranted one of their London-based Solicitors, and even if they ran it from a regional office, it is in my view certain that their hourly rate for such work would have been substantially in excess of GHR and may have equalled Bhatt Murphy’s London 3 rate…
“…If this was a case to which GHR applied – and with the death of a vulnerable young woman in the Defendants’ care this was never going to be such a case – the locality of Bhatt Murphy would make very little difference as far as hourly rates are concerned.”
The Costs Judge went on to address each of the “Seven Pillars” in CPR 44.3
“…Mr Buckley did not suggest, and I do not find that the Defendants’ legal representatives have been guilty of any misconduct. They are entitled to mount a robust defence and on my reading of the facts that is exactly what they did, although they capitulated once the writing was on the wall. However, their robust defence and sheer weight of numbers (the listing of Defence personnel at the pre-Inquest reviews took several minutes just to read into the record) does have an impact upon the reasonableness of the Claimants’ choice in choosing a firm that would be content to attend with just one fee earner and one Barrister in the face of such opposition.”
“As to the efforts made, if any, before and during the proceedings in order to try to resolve the dispute, whilst I accept that Mr Smith was endeavouring to assist the Court with truthful and correct submissions, I am afraid that his instructions (and the Points of Dispute, which will have fettered his submissions more than somewhat) were, on this issue, incorrect. Much was made of the early ‘admission’ by the Defendants in this matter but in fact it was very limited, both as to its scope (a few hours around the time that Amanda’s life ended) and as to who was making the admission (not all three Defendants). In order for the Claimants to establish the full extent of Amanda’s suffering and of the Defendants’ failings, they had to press on with the pre-Inquest reviews and only received a full admission (and apology) from all three Defendants at a much later date, after those took place.”
“As to the amount or value of any money or property involved, that was not the main focus of either party; at £65,000 the matter clearly settled at a figure much higher than (say) statutory bereavement damages and the cost of a decent funeral. I accept that the Human Rights and Equality Act issues were significant factors in the settlement figure achieved, and in that respect, the instruction of Bhatt Murphy was a decisive factor in running this claim to a successful conclusion.”
“Value was clearly outweighed by the importance of the matter to all the parties; this was not just a factor for the Claimants, who had lost their loved one in the most tragic circumstances and were keen to ensure that Amanda’s death should mean something, not simply in terms of damages but in terms of lessons learned that could help to protect other vulnerable people in the same position. There was also a high degree of importance to the Defendants….
“….They attended the Inquest in force of numbers and fought as hard as they could for as long as they could. The hourly rates charged by Bhatt Murphy have to be viewed against that background of very robust litigation by several leading Defendant firms.”
“As to the particular complexity of the matter or the difficulty or novelty of the questions raised; without repeating all of the facts set out above this was very clearly a complex and difficult matter. There were multiple failures across many months (or years), there was a vast amount of documentation and there were numerous causes of action against three Defendants. Even after the matter settled, the Points of Dispute referred to this as a Clinical Negligence matter with no reference to the Human Rights or Equality Act issues which were (as I have found) both of great significance to the Claimants in terms of what had happened to Amanda, and of importance in terms of the level of damages awarded to the Claimants which included substantial elements of non-negligence damages.
“The time spent on the case is not a factor of which either party made a great deal, but on the place where and the circumstances in which work or any part of it was done, I note Mr Buckley’s submissions as to the specialised and challenging nature of proceedings before a Coroner’s Court and I accept that this is yet another factor that affirms the choice of Bhatt Murphy to run this case.”
There followed submissions as to the effect of inflation on the guideline hourly rates for work done in 2018/18. Notably, the hearing before Costs Judge James took place in 2020, before the updated 2021 GHRs came into force. As such, they are of limited relevance today. The Judge however allowed the rates as claimed, namely £350 for Ms Phillips, £140 for Grade Ds and £150 for the Costs Lawyer.
Having dealt with hourly rates, the focus moved to the recoverability of costs related to the attendance at two Pre Inquest Reviews.
The Defendants advance multiple challenges to the recoverability of these costs, but these can be summarised in essence as follows:
Costs Judge James rejected each of the Defendants’ arguments.
“…Proportionality does not just relate to the sums of money involved; in cases such as this one, finding out what caused such a death is a very significant factor as well. Due to her various health issues, Amanda did not have and may never have had any prospect of a career, let alone a high-earning one. Nor was she in a relationship (not counting ‘Declan’ who may or may not have existed) and nor had she had any children. Those facts close off a great many potential heads of loss, but that does not mean that Amanda’s life was not worth anything nor that her life was not worth more than £65,000.
“Obviously, it was, but on the facts in this case I would say that, as important to the Claimants as the money damages, was finding out exactly what happened to Amanda and why so as (hopefully) to avoid the same sad fate befalling any other vulnerable people in a similar position. This is borne out by the fact that the Claimants did not accept the £65,000 settlement figure the moment it was offered, but held out, not for more money but for a meaningful apology and a commitment to take lessons from Amanda’s death, to benefit other vulnerable young people in Amanda’s position…
“…As in Fullick and unlike Kazakhstan Kagazy, the civil claim in Amanda’s case was about much more than money. It challenged the Defendants’ systems and practices and asserted multiple breaches not only of the Defendants’ duty of care in negligence but of the European Convention on Human Rights as well as the Equality Act. Without repeating all of the facts there were concerns around keeping a young person with autism on the Bradgate Unit which Mr Smith rightly accepted must have been ‘torture’ for her, concerns around bullying, safeguarding, concerns around a young woman reporting rape and nothing being done about it, concern around a young woman ligaturing to the point of unconsciousness and no Serious Incident Report being made, concern about Amanda having access to a salt-like substance and so on.”
“…In my judgement, the pre-Inquest reviews were of very significant use and benefit in the civil claim, both in respect of the issues referred to above (as to the treatment received by Amanda and its impact on the non-negligence aspects of the Claimants’ claim) and in respect of disclosure….
“Without having been more than robust as they are entitled to be (and, as guardians of the public purse, the public would expect them to be) the Defendants were trying to limit the scope of what the Coroner would be looking at and therefore to limit the disclosure available to the Coroner and hence to the Claimants. That again made the pre-Inquest reviews of significant use and benefit in the civil claim because, in plain terms, but for their representation at those pre-Inquest reviews, the weighty presence of Defendant lawyers may have prevailed upon the Coroner and key documents and facts might never have come to the fore….
“I find that these costs are in principle recoverable. They are relevant to issues in the civil claim so as to be recoverable as costs in that claim, and I have set out above the identification of outstanding issues necessary to the civil claim in respect of which the Claimants’ case would be advanced by participation in the Inquest, and what it was in that participation which would assist with the civil claim. Weighing the value of that assistance against the cost of pursuing that particular point in the Inquest, I also take the view that they are at first blush proportionate….
“…“I find that it was reasonable, proportionate and of use and benefit to the civil claim to attend and therefore to prepare for (and to travel to) the pre-Inquest review Hearings, and that it was reasonable for Ms. Phillips and Mr Desai both to attend.”
The Judge concluded with some general comments about the nature of the Defendants’ challenges and specifically the use of hyperbole.
“I would add that whilst the use of hyperbole is a viable tool in rhetoric, the Defendants’ reference to ‘eye-watering’ costs at Point 6 is misplaced. Amanda died after months of inadequate care, culminating in her taking steps that ended her life (I do not say taking her own life because it is far from clear that she intended it to go as far as that) at the young age of twenty.”
“In the context of the Claimants’ wish to get to the bottom of why such a vulnerable young person who had been making multiple ‘cries for help’ over the preceding months and years, and who seemed, based upon the background facts, to have had a reasonably clear pattern of harming herself at the first opportunity if her supervision levels should fall, had been put on such a low level of supervision hours before she died, I do not regard the costs as ‘eye-watering’ at all.”
Wraith v Sheffield Forgemasters [1988] 1 WLR 132
A v Chief Constable of South Yorkshire [2008] EWHC 1658 (QB)
KMT & Ors (Chidren) v Kent County Council [2012] EWHC 2088 (QB)
Johnson v Reed Corrugated Cases Ltd [1992] 1 All ER 169
Brush v Bower Cotton and Bower [1993] 1 WLR 132
Higgs v Camden & Islington Health Authority [2003] EWHC 15 (QB)
Finley v Glaxo Laboratories Ltd [1989] Costs LR (Core) 106
Jefferson v National Freight Carriers Plc [2001] EWCA Civ 2082
Amanda Helen Lynch (Representative of the Estate of Colette Lynch) and Others v (1) Chief Constable of Warwickshire Police (2) Warwickshire County Council and (3) Warwickshire NHS Trust
Humberstone, R (on the application of) v Legal Services Commission [2010] EWCA Civ 1479
Jacqueline King (Administratrix of the Estate of Robert Gadd, Deceased) v Milton Keynes General NHS Trust (2004)
(1) Stewart (2) Howard v Medway NHS Trust
Fullick & Ors v The Commissioner of Police for the Metropolis [2019] EWHC 1941 (QB)
In re Gibson’s Settlement Trusts [1981] Ch 179, 1 All ER 233
Kazakhstan Kagazy Plc & Ors v Zhunus & Ors [2015] EWHC 404 (Comm)
Solutia UK Ltd v Griffiths [2001] EWCA Civ 376
Surrey v Barnet And Chase Farm Hospitals NHS Trust [2018] EWCA Civ 451
Choudhury v Kingston Hospital NHS Trust [2006] EWHC 90057 (Costs)
Roach & Ors v Home Office [2009] EWHC 312 (QB)
Home Office v Lownds [2002] EWCA Civ 365
The Bowbelle (Ross v Bowbelle (Owners) [1997] 2 Lloyd’s Rep 196
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MICHAEL BRILEY & ORS V LEICESTER PARTNERSHIP NHS TRUST & ORS [2023] EWHC 1470 (SCCO)
The case arose from the tragic early death of Amanda Briley, born on 25 August 1996, who suffered from mental health difficulties, including Asperger’s Syndrome, leading to multiple inpatient stays at the Bradgate Mental Health Unit.
From 2012 to 2016, she experienced numerous self-harm and suicide attempts. Amanda’s care involved various levels of observation, medication adjustments, and efforts to find a specialist placement, delayed by funding issues.
A detailed plan for her overnight leave on 24 December 2016, including reducing observation levels, was not followed, and the rationale was lost from the records. Amanda’s regular consultant was on leave, and the covering consultant was unaware of the plan for her return, leading to inconsistencies in her care and reflecting the challenges in managing her mental well-being and safety.
On Boxing Day, 26 December 2016, Amanda was found having ligatured herself and was declared deceased on 28 December 2016.
A serious incident investigation identified failings in communication, suitability of placement at Bradgate Unit, delay in funding for specialist care, and safeguarding concerns. The investigation found Amanda’s extended stay at Bradgate Unit detrimental to her well-being, and the failure to provide level 1 constant observations was primarily a system error.
The concerns surrounding these tragic events led to an investigation and a future Inquest touching upon Amanda’s death.
Bhatt Murphy were instructed to act on behalf of the Claimants (Amanda’s family) in a claim against the Defendants for declaratory relief and damages, including aggravated damages, arising from the acts and omissions of the Defendants’ employees, servants and/or agents. The claims were brought pursuant to the Law Reform (Miscellaneous Provisions) Act 1934, the Fatal Accidents Act 1976 and the common law for negligence and in respect of breaches of the Human Rights Act 1998 (Articles 2, 3, 8 and 14 of the European Convention on Human Rights) and the Equality Act 2010.
The Claimants argued that their residence in Leicester was not a determining factor in choosing Bhatt Murphy in London. They emphasised that the choice was objectively reasonable, given the tragic circumstances of Amanda’s death and the firm’s reputation as a top human rights and civil liberties firm. The cases Wraith v Sheffield Forgemasters and Solutia UK Ltd v Griffiths were cited to support this point, emphasizing that the choice of legal representation should be based on expertise and suitability rather than geographical proximity.
The Claimants were referred to Bhatt Murphy by the charity INQUEST, known for its expertise in representing people whose loved ones have died in state care. The connection between Bhatt Murphy and INQUEST was deemed immaterial, and the recommendation was based on the firm’s specific experience with deaths in mental health custody.
The family’s urgent need for representation for the pre-Inquest review and the specific expertise required on death in Mental Health detention were highlighted. The family’s willingness to travel to Bhatt Murphy was also noted. The complexity of the case and the need for specialized knowledge were emphasized as key factors in the decision-making process.
The test, according to the Claimants, was not whether Bhatt Murphy was the cheapest option but whether their choice was objectively reasonable. They cited Kai Surrey v Barnet and Chase Farm Hospitals NHS Trust to emphasize that the choice only needed to be reasonable, not the best. The importance of the matter to the family and the unique circumstances they were facing were considered paramount.
The Claimants relied on the factors set out in CPR 44.3, including the conduct of parties, the amount or value involved, the importance of the matter, complexity, skill, effort, specialized knowledge, time spent, and the place where the work was done. They argued that these factors justified their choice and the hourly rates charged, reflecting the multifaceted nature of the case.
Bhatt Murphy’s national reputation for handling similar cases and the settlement value of £65,000 were presented as further justification. The reasonable valuation figures for different aspects of the case were detailed, highlighting the significance of the settlement and the complexity of the legal issues involved.
The Claimants denied that Counsel’s involvement was so significant as to reduce the Solicitor’s entitlement to enhancement on hourly rates. They argued that the Guideline Hourly Rates (GHR) were not applicable to this type of case, and that the Solicitor’s role was not diminished by Counsel’s contributions.
The Claimants argued that the GHR needed to be updated by reference to the Consumer Price Index, which would bring the Grade A hourly rate to £321. Enhancement would then need to be applied in line with Choudhury v Kingston Hospitals NHS Trust.
Proportionality and Recoverability
The Claimants contended that the costs incurred in the Inquest proceedings were not disproportionate, referencing Master Campbell’s observations in the case of Wilton v The Youth Justice Board and Another (Costs) 23 December 2010 Master Campbell’s view was that even £250,000 on an Inquest to recover £30,000 was not disproportionate. The Claimants asserted that the ‘new’ test under CPR Part 44.3(2)(a) should be considered, where costs may be disallowed or reduced if disproportionate, even if reasonably or necessarily incurred. They relied on various cases, including Roach v The Home Office [2010] EWHC 3125.
Emphasis on Relevance and Reasonableness
The Claimants emphasized the relevance of the evidence obtained during the Inquest and pre-Inquest reviews to the civil claim. They argued that all the evidence was pertinent and used in the civil claim, and that the costs incurred were recoverable by reference to the Gibson test and the case of The Bowbelle (Ross v Bowbelle (Owners)) [1997] 2 Lloyd’s Rep 196. They provided a detailed account of the Inquest, underscoring the reasonableness of the costs, and highlighted the importance of the Inquest in uncovering the truth and holding responsible parties accountable.
Challenge to Defendants’ Conduct and Admissions
Highlighting the Defendants’ conduct, the Claimants pointed out difficulties in obtaining disclosure and the timing of admissions. They argued that the full admission was not received until after the pre-Inquest reviews, and this impacted the costs. They maintained that the Defendants’ conduct justified the costs incurred, referencing the principles of fairness and transparency in legal proceedings.
Reliance on Specific Case Law and Rejection of Non-Binding Decisions
The Claimants extensively referred to specific case law, including Powell v UK [2000] 30 EHRR 362 and Rabone v Pennine Care NHS Foundation Trust [2012] UKSC 2, to support their arguments. They asserted that Lynch, was not binding. They emphasised that the decision must turn upon the facts in their specific case, rejecting any generalised approach, and argued for a nuanced understanding of the legal principles involved.
Conclusion on Recoverability and Proportionality
In conclusion, the Claimants maintained that all the costs were recoverable, and the costs claimed were proportionate. They emphasised the importance of ascertaining the precise nature of the Defendants’ breaches and argued that their approach to costs was consistent with established legal principles and case law. They stressed the need for a fair and just resolution, in line with the overarching objectives of the legal system.
Point 4 Hourly Rates
| Fee Earner | London 3 GHR | C Rates claimed | D Rates offered | Allowed |
| Ms Phillips Grade A | 229.00-267.00 | 350.00 | 225.00 | 350.00 |
| Ms Solopova Grade D | 121.00 | 140.00 | 111.00 | 140.00 |
| Mr Ferdinand Grade D | 121.00 | 140.00 | 111.00 | 140.00 |
| Ms Carini Grade D | 121.00 | 140.00 | 111.00 | 140.00 |
| Ms Lisette Grade D | 121.00 | 140.00 | 111.00 | 140.00 |
| Costs consultant | 121.00 | 150.00 | 111.00 | 150.00 |
Point 6
PROPORTIONALITY | INQUESTS | PRE INQUEST REVIEWS | LONDON SOLICITORS | LOCAL SOLICITORS | HOURLY RATES | IMPORTANCE | COMPLEXITY | CONDUCT | ROBUST DEFENCE | REFERRAL | CORONER’S COURT
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