The Court of Protection (Amendment) Rules 2015

Amendments to the Court of Protection Rules 2007

38.  After rule 81, insert—

“Security for costs

81A.— (1) A respondent to any application may apply for security for the respondent’s costs of the proceedings.

(2) An application for security for costs must be supported by written evidence.

(3) Where the court makes an order for security for costs, it must—

(a) determine the amount of security; and

(b) direct—

(i) the manner in which; and

(ii) the time within which,

the security must be given.

Conditions to be satisfied

81B.— (1) The court may make an order for security for costs under rule 81A—

(a) if it is satisfied, having regard to all the circumstances of the case, that it is just to make such an order; and

(b) if—

(i) one or more of the conditions in paragraph (2) applies; or

(ii) an enactment permits the court to require security for costs.

(2) The conditions are—

(a) the applicant is—

(i) resident out of the jurisdiction; but

(ii) not resident in a Brussels Contracting State, a State bound by the Lugano Convention or a Regulation State, as defined in section 1(3) of the Civil Jurisdiction and Judgments Act 1982(1);

(b) the applicant is a company or other body (whether incorporated inside or outside Great Britain) and there is reason to believe that it will be unable to pay the respondent’s costs if ordered to do so;

(c) the applicant has changed address since proceedings were commenced with a view to avoiding the consequences of the litigation;

(d) the applicant failed to give an address, or gave an incorrect address, in the application form commencing the proceedings;

(e) the applicant is acting as a nominal applicant and there is reason to believe that the applicant will be unable to pay the respondent’s costs if ordered to do so;

(f) the applicant has taken steps in relation to the applicant’s assets that would make it difficult to enforce an order for costs against the applicant.

Security for costs other than from the applicant

81C.— (1) The respondent may seek an order against a person other than the applicant, and the court may make an order for security for costs against that person, if—

(a) it is satisfied, having regard to all the circumstances of the case, that it is just to make such an order; and

(b) one or more of the conditions in paragraph (2) applies.

(2) The conditions are that the person—

(a) has assigned the right to the substantive matter to the applicant with a view to avoiding the possibility of a costs order being made against the person; or

(b) has contributed or agreed to contribute to the applicant’s costs in return for a share of any money or property which the applicant may recover or be awarded in the proceedings; and

is a person against whom a costs order may be made.

(Rule 166 makes provision about costs orders against non-parties.)

Security for costs of an appeal

81D.— (1) The court may order security for costs of an appeal against—

(a) an appellant;

(b) a respondent who also appeals,

on the same grounds as it may order security for costs against an applicant under rule 81A.

(2) The court may also make an order under paragraph (1) where the appellant or the respondent who also appeals is a limited company and there is reason to believe it will be unable to pay the costs of the other parties to the appeal should its appeal be unsuccessful.”.

(1)

1982 c. 27. Section 1(3) has been amended by S.I. 1990/2591, article 6, section 2(5) and (6) of the Civil Jurisdiction and Judgments Act 1991 (c. 12), S.I. 2007/1655, regulation 2(1), (3)(a), S.I. 2009/3131, regulations 2. 3(1), 4, S.I. 2011/1215, regulations 3 and 4, and S.I. 2012/1809, article 3(1), Schedule Part 1.