#10470 - Unit 7 – Commercial Court - Commercial Dispute Resolution

Unit 7 – Consolidation CDR

Commercial court part 58 and commercial court guide

• Only operates out of royal courts of justice in London

• But number of mercantile courts in district registries of large cities (these are for more modest claims) governed by part 59 and mercantile court guides for each court

Part of QBD High Court

• judges are specifically assigned and practiced in the court before becoming judges and therefore experts)

• court attracts highly complex cases involving vast sums of money

CPR and PD 58/Commercial court guide deals with the court

Court encourages advance disclosure of information and to provide written summaries which can be read by the judge (disclosure of electronic data and documents)

PD 5C – the commercial court can be started and continued electronically

CPR 58.1(2)(c) – commercial claim, any claim arising out of transaction of trade and commerce relating to:

1. business doc/contract

2. export/import of goods

3. carriage of goods by land, sea, air, pipeline

4. exploitation of oil, gas, natural resources

5. insurance and re-insurance

6. banking and financial services

7. operation of market and exchanges

8. purchase and sale of commodities

9. construction of ships

10. business Agency

11. arbitration

• Apart from arbitration Part 7 claims started using N1(CC) claim form and Part 8 N208(CC) claim form

Transfer:

Possible from and to. CPR 30.5 app for transfer to/from a specialist list must be made by judge dealing with claims in that list

• judge has virtually unfettered discretion in deciding whether case suitable

• judge can remove claim from court on own initiative or app of another party

• no rigid financial limit, claim 200,000 is likely to be transferred out unless a special commercial interest

• usually will be transferred out to Mercantile courts

How does CPR relate to Commercial court?

• Part 58.3 Rules and their practice directions (in cpr) apply to claims in the commercial list unless this part or a practice direction provides otherwise.

CPR

15 – Defence and reply

20 – Counterclaims and additional claims

58 – Commercial court

OUTCOME 2 – Explain steps which C, D and TP must take in commercial court to issue CF up until date C requests for first CMC

Commencement of claim in commercial court:

• Commenced by either part 7 (practice form n1(cc)) or part 8 (practice form n208(cc)) CF (claim form)

Statements of case – guidance set out in part c and appendix 4 of the CCG

• Generally the rules are similar to part 16 of CPR BUT

• para 12 appendix 4 CCG – evidence SHOULD NOT be included in statement of case

• para c1.1(b) CCG – evidence should be no longer than 25 pages. Court can give permission for longer if good reason to

• PD58 para 9 – commercial court will not serve docs. Service must be effected by the parties

• All docs verified by statement of truth, original text retained and using foot/margin notes. If extensive amendments then docs should be retyped and accompanied by a copy showing where/when amendments made CCG para C5.1(d)

Statements of case and time limits main claim:

OUTCOME 1 – Explain how to use Part 20 to bring a claim on behalf of a D against another party:

Allocation

• There is no directions questionnaire, all cases treated as allocated to the multi track r58.13(1)/CCG D1.2

• BUT parties must provide info about case on CMIS 7 days before CMC PD58 10.7

Case management:

• r1.4 is courts duty to manage cases

(1) Court must further OO by actively managing cases

(2)Active case management includes:

- r3.1 Courts case management powers (stay proceedings, consolidate proceedings, set pre-trial timetable etc)

Case management in CMC:

• All cases must have a CMC

• For applying for CMC/when it is see above

• CCG D2 sets out key features of case management

OUTCOME 3 – Identify the docs parties are requires to prepare in advance of CMC in the commercial court

CCG

• Once defence and reply served, parties’ lawyers should agree this.

D5.2 – case memorandum

- Must be lodged at court prior to CMC

- should contain:

1. short, uncontroversial description of what case is about

2. short, uncontroversial summary of material procedural history of case

D5.3 – C sol responsible for this

D5.5 – parties should agree what is put in it

- This is the first doc the commercial court judge looks at

D6 – list of issues - Exam likely to ask for list of issues but NOT the agrees list – just one party’s point of view

D6.1 – each party prepares their own, main issues of fact and law. Principle issues in a structured manner, such as by ref to headings or chapters. Long lists of detailed issues should be avoided

D6.2(c) – in most cases parties should be able to agree the list of issues, if this isn’t possible then C must draft and send to D who can provide their own comments or suggests alternative list to court (must send copy to C also)

D6.2(a) – list of issues intended to be a neutral claim, neither party should try to advance their case

• Separate section should list the common ground

** At CMC, parties must co-operate in keeping both docs up to date

D7 – case management bundle

D7.1 – prepared by C sol

• D7.2 – lists everything that should be in the bundle (CF, case memorandum, list of issues, pre-trial timetable or CMIS, statements of case, all principle orders, written agreement relating to disclosure)

• D7.5 - Must be lodged 7 days before CMC and update court bundle as follows:

1. Pre-trial timetable, revised case memorandum and other order at CMC within 10 days of CMC

2. Any significant order must be added to case memo within 10 days of making it

3. Replace original statements of case with amended one within 14 days of service

4. If case memo or list of issues revised do so within 10 days

• D7.6/ PD58 para 10.9 – C must constantly update the courts bundle as the case progresses

D8.5 – case management information sheet

D8.5(a) – each party must complete their own ones of these

• Must file and serve at least 7 days before the CMC PD58 10.7

• Gives judge info on parties positions

• Also forewarns the other parties of directions likely to be sought by other party at CMC

E2.3 – disclosure schedule – produced by each party (category, location, period of time of docs limits on search)

• What docs do you have, where are they, and any arguments as to why its disproportionate to search for certain docs

Must also file Precedent H with the court and serve it on the other side 7 days prior to CMC (r3.13)

• r3.14 – if you don’t, party which fails to file a budget will be treated as filing a budget comprising only the applicable court fees

• r3.18 – submit revised budget when necessary as court will have regard to the last budget submitted

• r3.18 – still...