The Court of Appeal has overturned a trial judge's refusal to impose costs sanctions on a party who failed to respond to an offer to mediate, where that party also breached a court order requiring any decision not to agree to an ADR proposal to be explained in a witness statement: Northamber Plc v Genee World Ltd [2024] EWCA Civ 428.
The decision applies established authority that silence in the face of an invitation to mediate should generally be regarded as in itself unreasonable, regardless of whether a refusal might have been justified in the circumstances. However, it also usefully confirms that that is the case regardless of whether the invitation is actively followed up for a response.
It also sends a clear message that the courts should not ignore breaches of case management orders intended to encourage engagement with ADR.
For more information see this post on our ADR Notes blog.
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