Court says litigants may recover costs after withdrawing public law cases
Derek Achong
The Court of Appeal has provided guidance on circumstances in which litigants challenging decisions by public bodies may recover their legal costs even when they withdraw their claims at a preliminary stage.
Appellate Judges Prakash Moosai, Vasheist Kokaram, and Eleanor Donaldson-Honeywell provided the guidance yesterday as they determined a consolidated appeal in two cases.
In one case the Judicial and Legal Service Commission (JLSC) appealed when it was ordered to pay the legal costs incurred by former magistrate and current High Court Master Sarah De Silva related to a lawsuit over its handling of a disciplinary complaint against her.
De Silva withdrew the case after the JLSC agreed to discontinue the disciplinary proceedings while simultaneously appointing her as a High Court Master.
In the other case, activist Michael Jogee was ordered to bear his own legal costs after he withdrew a case against the Cabinet over its failure to advise the President to appoint members of the Statutory Authorities Service Commission (SASC).
Jogee discontinued the case after the Cabinet gave the advice being sought in the lawsuit, though the move was not immediate.
In determining the appeals, Justice Kokaram noted that the traditional system of awarding legal costs, whereby the loser pays the costs of the victor, could affect citizens' ability to access justice.
"It can cause a disproportionate level of investment in the litigation by a party just for the sake of winning, weaponised by the party with deeper pockets to 'outspend' the other party to score a victory in the litigation regardless of the value or importance of the claim," Justice Kokaram said.
Justice Kokaram suggested that litigants in public law cases designed to hold public authorities accountable should be afforded some protection based on judges' discretion in deciding legal costs.
He suggested that judges should consider the conduct of the parties in such cases when seeking to utilise their discretion.
"The impulse to reward victory must always be tempered by an examination of the reasonableness of that party’s conduct," Justice Kokaram said.
He also said that the party's handling of pre-action protocol letters, which initiate the litigation process, should be considered.
"Compliance with pre-action protocols are not matters of procedural window dressing. They are meaningful rules of engagement designed to promote early collaboration and dispute avoidance which are reinforced by the court’s costs orders," Justice Seepersad said.
"Where there is substantive success which underlies a withdrawal of a claim the unsuccessful party who had failed to comply with a relevant pre-action protocol must bear a heavy burden to demonstrate that no costs order should be made against it," he added.
Dealing specifically with De Silva's case, Justice Kokaram noted that the judge was correct to award her legal costs.
It was quite clear in these instances that the Respondent (De Silva) was the winner and entitled to the costs of their endeavour buttressed by her reasonable pre-action conduct and conversely the Appellant’s unreasonable pre action conduct," he said.
In terms of Jogee's case, he ruled that he (Jogee) should have received a partial costs order up to when he learnt that Cabinet had given the advice but not for the period he continued the case after then before withdrawing it.
"Having regard to the undoubted merit for a larger section of the population and the importance of maintaining the rule of law and not subverting the authority of duly appointed service commissions it would have been disproportionate to reward Mr Jogee for the first period and claw it back by an adverse costs order in the second period," he said.
"The neutrality of a no order as to costs for the second period holds in the balance the legitimacy of the substantive claim and the unreasonable pursuit after securing a practically successful outcome," he added.
De Silva and Jogee were represented by Anand Ramlogan, SC, Jayanti Lutchmedial, Kent Samlal, Vishaal Siewsaran, Natasha Bisram, Jared Jagroo, and Ganesh Saroop, of Freedom Law Chambers.
The JSLC was represented by Russell Martineau, SC, Tamara Toolsie, Melissa Papoonsingh, and Vincent Jardine.
The Cabinet was represented by Kiel Taklalsingh.