Budgeting basics #10 – The separate ‘rule’ for interim applications
Paragraph 7.9 of Practice Direction 3E says this:-
If interim applications are made which, reasonably, were not included in a budget, then the costs of such interim applications shall be treated as additional to the approved budgets.
A nice clear piece of drafting.
The practical advice is this – whenever you are considering making an interim application (and before the application is filed), check whether it was included in the approved version of your budget assumptions.
If it was, then the costs of the application are part of the budgeted costs and the final bill of costs (if your client wins), will include those costs as part of the actual costs for the phase they belong to. Easy peasy.
If the anticipated interim application does not appear within the assumptions for the approved budget, the costs will fall outside the approved budget. Tell your client AND your opponent that this is the case and get your opponent to agree. If getting that affirmation from the opponent is not forthcoming, ask the court to make an order that it is so. A stitch in time at this stage saves …..