What happens to individuals who deceive the Court?

The Court has a discretion to punish a party or witness who sets out to deceive the Court with false evidence. One punishment open to the Court is to strike out the claim.

The recent case of Ul-Haq and others v Shah (2008) EWHC 1896 (QB) involved a rear end shunt caused by Mrs Shah. It was accepted that Mr and Mrs Ul-Haq had been in the car hit from behind by Mrs Shah. What was in dispute was whether Mr Ul-Haq's mother, Mrs Khatoon, was also in the car. The Judge found that Mrs Khatoon's claim was entirely fraudulent and that Mr Ul-Haq and his wife had conspired to advance this fictitious claim. Mr Ul-Haq and his wife were both guilty of serious breaches of the court rules although they had both genuinely suffered the injuries they had claimed for themselves. Accordingly, Mrs Khatoon's claim was struck out. However, Mr Ul-Haq and his wife received compensation for their injuries but they were ordered to pay two thirds of Mrs Shah's costs reducing their compensation considerably.

In another case ( Arrow Nominees In v Blackledge (2001) BCC 591) involving forged documents where the forgery was admitted before trial, the Court of Appeal struck out the claim because of the dishonesty as the Court of Appeal felt that any judgment in favour of the claimant would be regarded as unsafe.

In conclusion it is important not to make a dishonest claim or commit a dishonest act relating to the claim once the claim has started. The claim can be struck out (lost) and the claimant can be ordered to pay all of the opponents costs. This could be an extremely expensive mistake to make.

Contact Isabel Elliott on 020 8300 9321 or ielliott@wmk-law.com alternatively Contact Us