Ruling of the Tribunal in connection with applications by each of Albion Water Limited (“Albion”) and Dŵr Cymru Cyfyngedig (“Dŵr Cymru”) for the payment of their respective legal costs of the proceedings.
Although Albion did not succeed on every point in relation to the compensatory damages claims, the Tribunal decided that Albion was the clear winner on this part of the case. Albion was, therefore, entitled to all its costs of bringing the compensatory claims.
In respect of the exemplary damages claim, each party had applied for its costs. Notwithstanding the fact that Dŵr Cymru successfully defended the exemplary damages claim, the Tribunal concluded that, given the manner in which Dŵr Cymru presented parts of its case, the appropriate order was that there should be no order as to Dŵr Cymru’s costs of defending that claim. With regard to Albion’s application for its costs of bringing the exemplary damages claim, the Tribunal considered that Albion should be able to recover a proportion of those costs. The Tribunal held that Albion should recover 85% of its costs of the proceedings from Dŵr Cymru. It considered that the deduction of 15% reflected those costs of the exemplary damages claim, which Albion should bear itself.
Albion also sought to recover the after-the-event insurance premium (“the ATE premium”). The Tribunal concluded that Albion should recover 85% of the ATE premium on the same basis as it recovered its other costs.
The Tribunal ordered that Dŵr Cymru make a payment on account to Albion in an amount equal to 85% of the ATE premium within 14 days of the Ruling being handed down, with the remainder of the costs to be subject to detailed assessment, unless agreed.