Part 36 costs consequences and liability-only offers: a key development – 1 QMLR

Posted February 2nd, 2026 in news by sally

‘In Smithstone, the Court of Appeal addressed a key point of principle and uncertainty concerning cost consequences for liability-only Part 36 offers and marked a significant development for practitioners. The Court confirmed that Part 36 costs consequences can indeed be triggered by liability-only Part 36 offers, overturning and clarifying the position outlined in Mundy v TUI UK Ltd [2023] EWHC 385 (Ch). This decision is likely to prompt a rise in the use of such offers.’

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1 QMLR.2nd February 2026

Source: 1corqmlr.com