The Risks of Making Dishonesty Claims: What You Need to Know
Making accusations of fraud or dishonesty in court can be a risky strategy.
Not only could you lose the case, but you might also end up paying the other side's legal fees in full.
This blog post explores an example of dishonesty claims in the recent case of Thakkar v Mican and what it means for anyone considering making such claims.
Why are dishonesty claims risky?
There are several reasons why making dishonesty claims can backfire:
Strict rules: Lawyers and solicitors have strict rules to follow when making allegations. They can't just throw accusations around; they need to have a strong case supported by evidence.
Increased scrutiny: Courts take dishonesty claims seriously and will expect them to be well-founded. Failing to meet this standard could reflect poorly on your conduct.
Higher costs award: If your dishonesty claim fails, the other side might be awarded their legal fees in full (indemnity costs) instead of the usual partial award.
What did the Thakkar v Mican case decide?
This recent case involved a personal injury claim following a car accident.
The defendant accused the claimant of dishonesty, but the court rejected this claim.
The case then focused on whether the losing defendant should automatically pay the claimant's legal fees in full.
The Court of Appeal ruled that there is no automatic penalty for failing to prove dishonesty. However, the court will consider the circumstances of the case, including how the dishonesty claim was pursued.
If the claim was unreasonable or pursued aggressively without proper evidence, the court might award indemnity costs.
The takeaway
Making dishonest claims can be a powerful tool, but it's important to use them carefully.
Before making such accusations, ensure you have a strong case and understand the potential consequences if you lose.
Consulting with a lawyer is crucial to navigating the legal requirements and avoiding costly mistakes.
Seeking expert legal advice
The complexities of dishonesty claims highlight the importance of seeking proper legal advice before taking such action.
An experienced solicitor can assess the merits of your case, ensure you comply with all relevant rules, and guide you through the process to minimise risks.
Our expert solicitors are here to help
Here at Seymours + Solicitors, our expert solicitors in Hassocks, Horsham, and Hove are here to assist you with any legal issues.
We'll provide you with the clear and informed guidance you need to navigate this complex area of law.