Jurisdiction(s):
United Kingdom

Key definition

Costs definition

What does Costs mean? In litigation, costs are the legal fees, disbursements, court fees and VAT incurred in bringing, defending or appealing a claim, and the sums a court or tribunal may order one party to pay another for those liabilities. The concept is governed by procedural rules and case law rather than a single statutory definition: England and Wales (CPR 44–47), Northern Ireland (RCJ Ord 62), Scotland (where the equivalent term is expenses), and Ireland (Legal Services Regulation Act 2015 and the Legal Costs Adjudicators). The general approach is broadly consistent, subject to local terminology and procedure. Typical features include the discretionary rule...

Issues-based costs orders under CPR Part 44: England and Wales case law tracker of grants, refusals and practical alternatives

Published by a LexisNexis Dispute Resolution expert

Practice notes

This Tracker compiles examples of costs rulings where the court has either imposed an issues‑based costs order or declined to do so. Such an order is unusual. When one is made, it is essential that the terms can be measured with clarity, because solicitors face real challenges when identifying the costs that relate to each individual issue, and clear parameters help the assessment process and any detailed apportionment required.

Court makes an issues-based costs order—examples

The following decisions illustrate occasions on which an issues‑based costs order was made. The most recent judgment appears first, providing a current example of the approach.

Judgment, citation and news analysis: Montres Breguet SA v Samsung Electronics Co Ltd [2022] EWHC 1895 (Ch) — Consideration: The judge cited Pigot v Environment Agency [2020] EWHC 1444 (Ch), emphasising that an issues‑based costs order is not warranted simply because a party did not win on every point; it may, however, be suitable where a discrete or self‑contained issue prompted extra expenditure, or where total costs were materially inflated by unreasonably advancing one or more issues.

Such directions remain rare in costs decisions...

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Web page updated on 21/05/2026

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