Kavish Shah successfully makes submissions on behalf of the Operator in Kingston House North case to reduce costs
The Tribunal has again reminded parties that the transactional and litigation costs sought in MSV telecoms cases must be reasonable, in a decision published by the Tribunal here.
In the Kingston House North case, the parties agreed to the imposition of a non-intrusive MSV agreement. As set out by the Site Provider in its submissions on costs: “The issues in dispute regarding this MSV agreement were (a) entitlement to an escort when visual surveys were carried out; (b) the carrying out of the escort role by Hub Telecoms (“Hub”) or (c) others; and, (d) the costs thereof. This was in the context of a “high-end residential apartment building … occupied by a number of very senior MOD personnel … overlook[ing] a number of foreign embassies.”
The Site Provider had sought escort costs in the sum of £950 plus VAT but had settled at £150 plus VAT.
As part of the agreement, the Operator was to pay the Site Provider’s costs with reference to paragraphs 84(2) and 96(1) of the Code. The issue was then the quantum of transactional and litigation costs, which the parties could not agree.
The Site Provider’s statement of costs ran to £18,948 (although it limited its claim for costs to £13,200). Given the substantive issue had been just the security escort, those costs were opposed as being unreasonable in amount.
The Tribunal found that both the full costs spent and the lower amount claimed were disproportionate to a dispute of this nature. The amount of Grade A time in particular was found to be unjustified. As such, the total costs awarded were £4,800, a significant reduction from what was actually spent.
The case serves as a reminder for parties to bear in mind that the Tribunal will award costs in MSV telecoms cases, but only those that are reasonable.
Kavish Shah was instructed by Rachel Small, Julie Breeds and Maximilian Sakoschek of Osborne Clarke and acted for the Operator in successfully making submissions to reduce the costs.
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