TMC LEGAL | SMITHSTONE V TRANMOOR PRIMARY SCHOOL [2026] EWCA Civ 13

Описание: Claimant's Part 36 liability offers that do not specify a monetary sum can, in principle, engage the enhanced costs consequences under CPR 36.17(4). However, the rule only applies where liability is actually determined — global settlement without a liability finding is insufficient. | Smithstone v Tranmoor Primary School [2026] EWCA Civ 13 | Part 36 Liability Offers | Court of Appeal Overrules Mundy

The Court of Appeal confirms that 90:10 liability-only Part 36 offers can engage CPR 36.17(4) costs consequences in principle. However, Bean LJ clarifies such offers only trigger the rule where liability is determined or admitted — global settlement without a liability finding or concession is insufficient.

🔑 Key Points:
• Court of Appeal overrules Mundy v TUI UK Ltd on the issue of principle
• 90:10 liability Part 36 offers CAN engage CPR 36.17(4)
• Liability must be determined or admitted for the rule to apply
• Global settlement without liability finding cannot be compared to a liability offer
• Fixed costs regime upheld where CPR 36.17(4) not triggered on the facts

📋 Case Summary:
Case: Smithstone v Tranmoor Primary School [2026] EWCA Civ 13
Court: Court of Appeal
Judges: Bean LJ, Phillips LJ, Stuart-Smith LJ

⚖️ Why This Matters:
Essential clarification for costs practitioners on percentage-based liability Part 36 offers. Claimants must secure a liability determination or admission to benefit from CPR 36.17(4) consequences. Settling for a global sum without addressing liability will not suffice.

🎯 What The Court Decided:
1. Settlement approval under CPR 21.10 constitutes a "judgment" for CPR 36.17
2. 90:10 liability offers are capable of being genuine offers to compromise
3. Mundy v TUI overruled on the issue of principle — decided without reference to Huck v Robson
4. CPR 36.17(4) requires judgment "at least as advantageous" as the offer
5. Fixed costs of £7,114.50 upheld

📚 Topics Covered:
• Part 36 liability offers • CPR 36.17(4) costs consequences • Fixed recoverable costs • CPR 21.10 settlement approval • The "unjust" exception

👨‍⚖️ Judges:
Lord Justice Bean | Lord Justice Phillips | Lord Justice Stuart-Smith

💼 Useful For:
Costs Lawyers | Costs Draftsmen | Solicitors | Personal Injury Practitioners | Insurance Lawyers

🔗 Links:
📖 Blog: https://www.tmclegal.co.uk/part-36-li...

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Related Cases:
• Mundy v TUI UK Ltd [2023] EWHC 385 (Ch) — overruled on principle
• Huck v Robson [2002] EWCA Civ 398
• Broadhurst v Tan [2016] EWCA Civ 94
• Webb v Liverpool Women's NHS Foundation Trust [2016] EWCA Civ 365

⚠️ Disclaimer: For educational purposes only. Not legal advice.

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