A survey by Just Costs of over 900 commercial litigation partners at the top 200 law firms found that 73% of them have incurred costs above approved budget levels but in contrast only a handful have made an application to revise the budget upwards.
Susan Dunn, Head of Funding at Harbour, commented: “One of every client’s major concerns is that they know how much their litigation is going to cost. Yet it seems that even the very real prospect of court sanctions affecting a party’s ability to recover costs, is having a limited effect. Continuous improvement is necessary in terms of making budgets more accurate; monitoring ongoing budgets to control issues before they develop and analysing completed cases to assess where there were divergences from budget to ensure that lessons are learned.”
Click here for further details on the survey.