By David Chase, Deputy Underwriting Manager.
By way of an update to a previous article, there has been a very helpful development in this group action. Penningtons Manches are acting for over 80 claimants who lost over £3m in deposits in the failed and allegedly Mafia and IRA connected Jewel of the Sea holiday development in Calabria, Southern Italy.
The latest development has seen Penningtons Manches’ group action professional negligence specialists successfully gain a High Court non-party costs order. This was under section 51 of the Senior Courts Act 1981 against the defendant insurers AIG (Europe) Limited (AIG).
Following a Court of Appeal decision in 2017 in favour of the claimants, and which upheld a previous High Court decision, the defendants Giambrone (a London-based Italian law firm) themselves had failed to satisfy costs orders and therefore the non-party costs order was sought.
Mr Justice Foskett found that he could exercise the court’s discretion to award non-party costs in “exceptional circumstances” and held that “AIG’s funding of the defence did materially increase the costs expended by the Claimants in pursuing the claims”. In addition, he found that the claimants spent “twice as much on pursuing their claims than they would have done if AIG had not funded the defence of the claims in the way it did”.
The Temple Perspective
This has been a very long fight thus far for the claimants who have resolutely carried on, supported by very able lawyers at Penningtons. We are delighted by the court’s decision and it reinforces the view that alternative methods for sourcing a recovery can be deployed effectively in order to get results for clients who would otherwise be in a much worse financial position.
To find out about ATE insurance for professional negligence litigation for your firm and clients please call our commercial team on 01483 577877 or email firstname.lastname@example.org.
David is the Deputy Underwriting Manager in Temple’s Commercial Department who partners with solicitors and brokers to provide litigation (ATE) insurance and funding solutions to businesses and individuals.
Having started his career in ATE insurance in 2006 at FirstAssist, David gained experience in litigation funding as an analyst at Burford Capital, before joining Temple Legal Protection in late 2013. Having worked for over 12 years in this evolving market, David knows what drives customers and he understands that it is how well you connect with the people you are trying to help that makes you succeed.
David has helped hundreds of customers and has worked with many of the leading law firms in the British Isles. He has extensive and varied experience in risk analysis, case management and long-term relationship management. One of David’s specialisms is his management of our fully-delegated schemes, a responsibility which plays an integral part in the retention of Temple’s partnerships with many leading and specialist commercial law firms.
In his role as Deputy Underwriting Manager, David considers a very wide variety of non-injury litigation including all types of commercial litigation, group actions, professional negligence cases, insolvency actions and contentious probate. He combines strategic activities – evaluating developments such as the impact of ADR on the commercial litigation sector – with expert underwriting in order to assist customers in making efficient and timely use of our litigation (ATE) insurance and funding products.
He continues to work towards his qualifications as a member of the Chartered Insurance Institute.
Read articles by David Chase