Case No. IP-2016-000050

36.No question of indemnity costs or an additional amount arises under Part 36 where a defendant makes a successful Part 36 offer because there is no need. Rule 36.17(3) provides that the defendant gets his costs from the date of expiry of the relevant period, plus interest. 37.A question does arise as to whether the stage costs caps and the overall costs cap apply. The argument in favour is to put defendants on an equal footing with claimants when it comes to Part 36 offers, assuming that Hagan is correct; for the reasons I have given I have declined to reverse Hagan. 38.However, as I have discussed, in the normal course Part 36 will be applied in a limited way to a claimant’s successful Part 36 offer, particularly rule 36.17(4)(b). Removing the caps where there is a defendant’s successful Part 36 offer would tilt the balance of advantage unfairly in favour of defendants. 39.The Supplemental Jackson Report suggested no change to the usual effect of a defendant’s successful Part 36 offer for the capped costs pilot scheme, see appendix 15, paragraph 3.14. I will do likewise. The IPEC stage and overall costs caps remain in place.