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Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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can a defendant ask the claiment to place a deposit down in

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can a defendant ask the claiment to place a deposit down in court to cover costs if it is thought that if the defendant were to win then the claiment would not be able to/or would avoid paying the costs after the case? Claiment taking defendant to court to try and aquire money under false accusations.

Alex Watts : Hello my name is XXXXX XXXXX I will help you with this. Please note that I am a working Solicitor and may be on and offline as I have to attend Court and meet with clients, even at weekends. As such you may not get an instant response when you reply, but rest assured I will be giving your question my immediate attention upon return You do not need to wait here as you will get an email when I reply.
Alex Watts : Is the defendant an individual please?
Alex Watts : Is the claimant an individual?


Alex Watts : Ok. Then whilst the defendant can ask, there is no obligation to do this.
Alex Watts : There is no court rule that requires a claimant to make a deposit into court,
Alex Watts : You can ask the court to order this but there is no legal requirement that they do.
Alex Watts : If the cliamant was a company outside the UK then different rules apply and you can ask the court for 'security for costs'
Alex Watts : But this does not apply to individual claimants inside the uk
Alex Watts : I am sorry if this is not the answer you want and certainly not the one I want to give you, but I have a duty to be honest.
Alex Watts : But ask the court, they can only say no.
Alex Watts : Can I clarify anything for you about this today please?

The claiment has amended his statement and it was agreed by their solicitor that they would pay for any costs that take place on my side due to extra solicitor time etc. We are in the process of asking for these costs now but if the claiment can't pay, do I have any way of stricking off the case as this will clearly show he doesn't have the money to pay for any of my expenses should I win the case?

Alex Watts : Yes that is different matter, the costs of amending their statement,
Alex Watts : If the claimant can't pay the costs then sadly that is not grounds for a strike out.
Alex Watts : All you can do is enforce the court order for costs.
Alex Watts : I am sorry it's not better need but I hope this clarifies the position.

I do have another question but will I need to pay more for an answer?

Alex Watts : Is it on the same topic? If so that is fine. If its a new question not on the same topic I will invite you to post a new one.

The Claiment and I had a business together. I sold my shares to him, as he wanted to carry on alone. In order to start the business I lent him money from one of my other businesses to cover his costs for refurbishment which he paid back when he had it. Now that the business is declining he is trying to sue anyone and everyone in order to aquire money. He is taking me to court saying I asked him for a personal loan. He has produced the bank receipts for payment into my other business account but says that 16 months later he didn't know it was a business account. Basically he is trying to say that the money he paid back for refurbishment was actually a personal loan. I have plenty of evidence and witnesses to say it was payback for this loan but he is approaching the court on the basis that it was personal. On our contract to end the business relationship we had a clause to say that after he took over we would not have any comeback on each other or be able to sue. From my side it is business related as payback to my company but as he says it's personal does the statement still stand? Clause below:


Each party agrees, on behalf of itself and on behalf of its Related Parties not to sue, commence voluntary aidin any way,prosecute or cause to be commenced or prosectuted against its other parties or its Related Parties any action, suit or other proceeding concerning any dispute controversy, or claim arising out of or relating to the Loan the company's and/or the subsidiary's affairs up to the date of this agreement ,in this jurisdiction or any other.

Alex Watts : Ok. Then you should apply to strike out the claim on the baiss of this agreement.
Alex Watts : You need to make an application on form n244
Alex Watts : The contract is clear - no claim
Alex Watts : Can I clarify anything for you?

My solicitor is saying that it is very clear but if we do the stick off the judge may say he wants to see the whole case as this has been going on for a year now and my solicitor didn't realise about the clause until recently. I have already spent alot of money and the claiment put his house on second charge to pay his part for refurbishment although he is claiming that he put his house down to give me a personal loan that he claims I haven't paid back. Clearly no-one would put down their house for anyone else on a personal loan especially without any contracts etc. What do you think a judge would say if I went for a stike off now? What are my chances and I do have concerns that if I do win then he will not be in a position to pay back any of my costs for solicitors etc - due to his financial situation.

Alex Watts : I can't say what the chances are as I have not seen all the evidence.
Alex Watts : But that clause is compelling.
Alex Watts : It may be worth an application for strike out
Alex Watts : The earlier the better. You need to show they have no case at sll
Alex Watts : all
Alex Watts : Can I clarify anything else?
Alex Watts :

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