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If your business faces court litigation, this can be time-consuming and legal costs can be high. The court process may also be daunting and something you would rather avoid. If you face a potential court case, you may find that you have grounds to strike out the legal claim in terms of your opponent’s case so that it ends early. Alternatively, the other party may apply to do this, and you need to respond to counter a successful strike. There are specific grounds which have to be met for this. This article explains strikeout applications and legal strategies.
What is a Strike Out Application?
A strike-out application is when a party to commercial litigation applies to the court to use its powers to strike out the case statement for a commercial claim. The court has this power from Part 3.4 of the Civil Procedure Rules (CPR). They can be struck out in a whole or part:
- particulars of claim;
- a defence; or
- a reply.
However, a court only has the power to do the above where specific grounds apply, which include that:
- there are no reasonable grounds for making or defending the claim according to the statement of the case;
- there is an abuse of the court’s process, or there is a risk to the proceedings as a result of the statement of the case; or
- a rule of practice direction has not been complied with.
However, a court rarely allows a strike-out application because it can prevent the right to a fair trial or other significant rights.
When Might I Apply for a Strike Out Application?
You may apply for a strike out application for a commercial claim when you do not want a statement of the case or material in it to be relied upon in court proceedings. This is because the effect of a strikeout is to delete this. Therefore, if successful, the party applying for the strikeout and the entire statement of the case is struck out.
Another reason you may opt for a strikeout is that you want the dispute to end early and not be costly. Where a strikeout application is successful, it will not always end the claim because the other party may be able to obtain permission to change its statement of case. Also, where the claim ends, the other party may be able to start fresh proceedings.
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How Do I Apply for or Respond to a Strike Out Application?
When you apply for a strike-out application, as the applicant, you must prove that there are grounds to make it. To apply for a strike-out application, you must first make the application. This means that you:
- state why you make the claim;
- explain the facts you represent;
- detail the law you rely on; and
- explain your supporting evidence.
If you are the respondent in a strike out application, you will have a chance to prove to the court that a strike out order would be, for example:
- unfair; or
- inappropriate.
As an applicant or defendant to a strike out application, you must file a skeleton argument before the strike out hearing to the court and each other. Alternatively, you may decide to agree on a bundle.
The hearing will usually last for less than a day, and both parties will have a chance to present their arguments. The judge will give their decision once the hearing ends.
Key Takeaways
A strike out application is where you ask a court to use their powers to strike out a statement of the caster for your potential court proceedings. They can only do this where you meet the specific grounds, which include, for example, that the statement of the case shows there are no grounds to defend the claim. For example, you may apply for this where you want the dispute to end early. If the other party makes a strike out application against you, you have a chance to reply to this. The applicant and respondent serve each other and the court with a skeleton argument and a court bundle before the strike out hearing. However, it is unusual for a court to accept a strike out application.
If you need help understanding how to respond to a strikeout application in the UK, our experienced disputes and litigation lawyers can assist you 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. So call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
A strike-out application is where a party to litigation applies to the court to strike out a statement of the case or a part of this.
Although a court has the power under the Civil Procedure Rules to grant a strike-out application, they rarely do so to allow for the course of justice.
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