Which Court Will Hear My Case?
Introduction
Which court will hear a claim is a critical aspect in the English legal system. To be appropriate, the court must have jurisdiction to hear the matter, be suited to the complexity and nature of the claim, and provide an effective forum for resolving the dispute.
This article examines the framework for determining which court will hear a claim, focusing on the jurisdictional rules, the structure of the courts, and practical and procedural factors influencing allocation. It also considers specialist courts and divisions that handle particular categories of cases.
Overview of the English Court System
The English court system for civil claims is divided between the County Court and the High Court. The Court of Appeal and the Supreme Court also deal with civil claims, but they only hear cases on appeal and so they are not relevant to deciding which court will hear a claim in the first instance.
County Court
The County Court is the primary forum for hearing the majority of civil claims in England and Wales. It has over 50 physical locations nationwide, offering better accessibility to litigants than if the courts were centralised. Whilst it primarily handles lower-value and less complex claims, the County Court can also heard some more complicated cases, provided that the financial value or subject matter does not demand the expertise or resources that are only available in the High Court.
High Court
The High Court deals with higher-value and more complex claims. It is divided into four divisions, each handling specific types of disputes. Only two of them are relevant to contstruction, commerical, and property-related claims (the other two dealing with criminal, and family, issues):
The King’s Bench Division: this division focuses on general civil litigation, including contractual disputes, tort claims, defamation, and judicial reviews; and
The Chancery Division: this division specializes in equity and trust law, insolvency, intellectual property, and tax disputes.
Factors Determining Which Court will Hear a Claim
The decision on which court will hear a claim depends on multiple factors, including the financial value of the dispute, its complexity, the subject matter, and the nature of the issues involved. These factors are considered in conjunction with jurisdictional rules to guide the allocation process.
Financial Value
The financial value of a claim plays a pivotal role in determining its allocation:
claims under £10,000: generally, these are considered small claims and are allocated to the small claims track in the County Court;
claims between £10,000 and £100,000: these are typically allocated to the County Court (but not the small claims track), unless the case involves complex issues better suited to the High Court; and
claims exceeding £100,000: these are usually heard in the High Court, reflecting their potential complexity and significance that often comes with higher values. However, some types of claim (and importantly, construction claims) have a much higher financial threshold to reflect the facts that (1) the specialist construction court is very busy, and (2) the cost of construction projects is such that they have relatively high dispute values by their nature.
Complexity of the Issues
Claims that involve novel legal questions, significant factual disputes, or voluminous evidence are more likely to be heard in the High Court. the High Court's physical, administrative, and legal resources, along with the greater experience of its judges, make it better equipped to handle cases requiring specialist knowledge or extended judicial attention.
Nature of the Dispute
The nature of the dispute also influences the allocation decision. Cases involving construction disputes, professional negligence, or intellectual property matters (for example) are considered specialist, and so are likely to be directed to specialist lists (and therefore certain courts) that deal specifically with these areas of law.
Specialist Courts and Their Jurisdiction
The English court system includes several specialist courts designed to handle specific types of disputes. These courts ensure that cases are heard by judges with expertise in the relevant area of law, promoting efficiency and consistency in decision-making.
The Business and Property Courts
The Business and Property Courts (B&PCs) encompass several specialist divisions, including:
the Chancery Division: this is focused on equity, trusts, insolvency, and intellectual property.
the Technology and Construction Court (TCC): this handles construction, engineering, and technology disputes.
the Commercial Court: this specializes in complex commercial and business-related litigation other than those areas identified above.
The B&PCs operate not only in London but also regionally, making the specilist expertise available across England and Wales.
The Commercial Court
The Commercial Court is a division of the King’s Bench Division which is focused on high-value business disputes. It handles cases involving international trade, financial services, and commercial contracts. With a reputation for dealing with very large cases efficiency, the Commercial Court is a popular choice for businesses seeking swift and expert resolution of disputes.
The Technology and Construction Court (TCC)
The TCC is a specialist forum for resolving technically complex disputes concerning (as its name implies) buildings, infrastructure, and technology (both hardware and software). Its jurisdiction covers matters that arise out of practical construction and engineering issues (such as defects, and delays), as well as professional negligence claims arising in relation to construction and engineering projects. Judges in the TCC have significant experience in managing expert evidence and interpreting detailed technical documents. It is in the TCC that the majority of Hamshaw’s clients’ cases are heard.
Circuit Commercial Courts
Commercial Courts outside of London (known as regional, or ‘circuit’ courts) handle business disputes outside London, but the disputes may be about companies or projects within London. They provide a cost-effective and accessible alternative for local businesses, ensuring that claims receive specialist attention without the need to transfer them to London.
Procedural Rules Governing Allocation
The allocation of claims is governed by the Civil Procedure Rules (CPR), which provide detailed guidance on how cases are assigned to courts.
Allocation Tracks
As from November 2024, when the ‘intermediate track’ was adde,d claims are allocated to one of four tracks based on their complexity and value:
Small Claims Track: designed for straightforward cases with a value up to £10,000.
Fast Track: for claims between £10,000 and £25,000, typically involving trials lasting no more than one day.
Intermediate Track: introduced to handle cases valued between £25,000 and £100,000, offering a structured process for moderately complex disputes.
Multi-Track: reserved for claims exceeding £100,000 or those involving significant complexity, regardless of value.
Transfer Between Courts
In some cases, claims may need to be transferred between courts. Transfers typically occur if the initial allocation proves unsuitable due to the case’s complexity, value, or the need for specialist expertise.
Practical Considerations in Allocating a Claim
Practical considerations play a significant role in deciding which court will hear a claim. These include cost, efficiency, geographic location, and procedural requirements.
Cost Implications
Court fees and legal costs vary depending on the court and track. This makes it important for a claimant to get good advice in advance of starting a claim, so that an appropriate court can be chosen and the risk of unnecessary expenses, such as additional fees incurred during a transfer, cane be avoided.
Geographic Location
Accessibility is a key factor, particularly for parties and witnesses. It is often wise for a case to be heard locally, and the regional Business and Property Courts offer specialist services outside London which reduces travel costs and improves convenience without sacrificing judicial expertise.
Procedural Efficiency
Different courts have distinct case management approaches. Specialist courts like the TCC and the Commercial Court routinely adopt bespoke procedures tailored to their subject matter, expediting the resolution of complex disputes.
Consequences of Incorrect Allocation
Starting a claim in an inappropriate court can lead to significant delays, increased costs, and, in some cases, adverse legal consequences.
Transfer Delays
If a claim is incorrectly allocated, transferring it to the appropriate court can cause procedural delays, disrupting case timelines and increasing litigation costs.
Adverse Cost Orders
Courts have discretion to impose adverse cost orders on parties responsible for improper allocation, particularly if the misstep results in wasted judicial resources or inconvenience to the other party.
Risk of Strike-Out
While rare, an incorrectly allocated claim may be struck out if the procedural rules are not followed, potentially leaving claimants without recourse to justice.
Strategic Considerations
Selecting the appropriate court involves more than complying with procedural rules; it requires strategic thinking to achieve the best outcome for the client.
Specialist Expertise
Where multiple courts have jurisdiction, selecting a specialist court can improve the quality of decision-making and streamline case management.
Seniority of Judges
Complex or high-stakes cases may benefit from being heard by more senior judges, who often have greater experience and authority in handling intricate legal issues.
Procedural Advantages
Some courts offer procedural benefits, such as expedited timelines or simplified processes, which may align with the client’s objectives.
Conclusion
Determining which court will hear a claim is fundamental to the efficient and fair resolution of a dispute. By considering the financial value, complexity, and nature of the claim, the courts ensure that their case is heard in the most suitable forum. The structure of the English court system, with its specialist divisions and tailored procedures, provides a fexible and logical framework for accommodating the huge variety of claims that are started each year.
If you are considering commencing proceedings, and would like advice on which court is most suited to your claim, contact Hamshaw today.