Table of Contents
In Short
- A summary judgment resolves a legal case without a full trial, based on evidence or points of law.
- It’s granted when there’s no real prospect of success for the opposing party.
- Summary judgments are cost-effective but challenging to obtain and carry risks of cost penalties if denied.
Tips for Businesses
Consider applying for a summary judgment to save time and costs in legal disputes, but be prepared for the potential consequences if it’s refused. Seek legal advice to understand the process and improve your chances of success.
If your company falls into a business dispute, it is essential that you resolve it quickly, with as little disruption as possible to your business activities. One way to resolve a genuine dispute is by using an alternative dispute resolution (ADR) method to resolve disagreements. For example, you may decide to meditate. However, sometimes a commercial dispute can reach legal proceedings. This can be costly and time-consuming. Therefore, knowing about the option of the summary judgment procedure with a summary judgment hearing for commercial litigation is essential. This article will, thus, explain summary judgments in terms of the legal procedures and implications for business owners.
What is a Summary Judgment?
A summary judgment is a legal procedure someone party to a legal claim may use. It allows a legal case, or part of it, to be resolved without a trial. However, there will still be a court hearing during the case for the judge to decide if this judgment will go ahead.
An application for a summary judgment may cover either a point of law or the evidence in the case or both. The evidence is based on what is reasonably expected to be available at the point of trial.
A defendant or claimant may request a summary judgment, but there are some circumstances when a claimant cannot do so. However, if you are party to legal proceedings, you should get legal advice meaning your solicitor can help you know if you can make an application. It is also possible that a court will decide to dismiss a claim summarily or part of it.
What is the Legal Procedure for a Summary Judgment?
Before considering the legal procedure for a summary judgment, it is essential to understand the criteria for one. The party seeking the judgment must bear the burden of proof that the criteria apply to the court claim.
When requesting a summary judgment, the court will consider one where:
- there is no real prospect of success for the claim, issue or defence; and
- if there are no other compelling reasons the trial should go ahead.
Timeframe of Summary Judgments
When you can apply for a summary judgment will depend on the circumstances of the application. If you are the claimant in the case, you must wait until the defendant has filed their defence or you have received an acknowledgement of service. However, a court may allow an application outside this timeframe, or a practice direction may state something different.
If you are the defendant applying for this type of judgment, you can make it at any point during the court proceedings.
Legal Procedure
To make an application for a summary judgment, you must apply to the court relevant to your case and pay a fee.
You will also submit with your application evidence and a draft order. The evidence will usually consist of a witness statement explaining why you believe you can have a summary judgment to the court. Therefore, it will convince the court that there is no real prospect of success and also no compelling reason why a trial should go ahead. The draft order will state the order you wish the court to make.
You will then need to serve evidence on the other party and allow them to respond. They may submit evidence at least seven days before the date of the hearing. Once they have submitted it, you can submit further evidence at least three days before the hearing. Following this, you will need to:
- agree on a bundle of documents with the other party and give these to the court;
- submit a skeleton argument to the court, which is a clear and concise summary of your argument (the other party will do the same); and
- submit any details of costs you may claim (the other part does this too).
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What are the Legal Implications of Summary Judgments?
There are several implications of using summary judgments, including positive and negative ones. For example, a summary judgment’s advantages are that the dispute can be resolved faster and at a lower cost. Also, the court hears no oral evidence as there is no trial, meaning your staff and other parties do not need to attend a hearing.
The disadvantage of summary judgements is that they are hard to persuade a court to allow. This is because it is difficult to convince a court that there are no real prospects of success. If the other party shows they just may succeed, the court is likely to refuse an application for a summary judgment.
Key Takeaways
If you find yourself a party to commercial litigation, rather than proceeding with a full trial, you may be able to apply for a summary judgment. This is a legal procedure involving either a point of law or the evidence reasonably expected to be available during trial. To be successful with an application for a summary judgment, you need to convince the court that there are no real prospects of success and no compelling reasons the trial should go ahead. The legal process for an application for a summary judgment includes a timeframe which depends on who is applying.
The legal procedure concerns several steps, such as applying to the court to grant a summary judgment and serving evidence on the other party. Summary judgments have various legal implications, such as speeding up a resolution and reducing the cost of a commercial dispute. However, they can also have cost implications for the party making the application if it is refused.
If you need help understanding summary judgments, our experienced disputes and litigation solicitors can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
A summary judgment is a legal procedure in a court case where a party applies for part or all the case to be resolved without the need for a full trial.
If the claimant to court proceeding wants to apply for a summary judgment they usually have to wait until they have received an acknowledgement of service or the defendant has filed their defence. However, the defendant can usually apply at any stage of the litigation.
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