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Nicklin orders interim payment
Prince Harry, Elton John and six other claimants were ordered by High Court Judge Matthew Nicklin to make an interim payment of £9.54 million (about $13 million) to Associated Newspapers Limited by Aug. 28 after they lost their privacy lawsuit in London.
“ordered them to make an initial payment "on account" by Aug. 28”
The court said the reasonable sum on account was £9,544,355 and declined to impose a cap on the total payment, meaning the claimants could eventually face costs up to £34.5 million that Associated Newspapers said it had incurred.
Justice Nicklin ruled that the case was a rare one where the claimants should have to pay far in excess of the costs that had been agreed before trial, criticising how they presented their claims as "unreasonable to a high degree."
Associated Newspapers said the ruling was a "devastating critique of an attempt to destroy a newspaper and the reputations of its journalists, editors and executives," while the BBC reported that the claimants have until 2 October to attempt to launch an appeal.
Costs could rise on indemnity
The BBC reported that the judge ruled ANL's costs should be determined on an indemnity basis, which it described as more favourable to the publisher in terms of the amount it can recover, aside from where orders had already been made.
In his written ruling, Nicklin said: "I regard a claim for costs in excess of £34 million as, on its face, excessive" and added that the court would still assess whether the costs were reasonably incurred and reasonable in amount.
The BBC also said it was "striking" that "not a single allegation of serious wrongdoing was voluntarily withdrawn" by the group of seven claimants, and it quoted Nicklin saying serious allegations of criminality or grave impropriety cannot properly be left hanging over individuals.
The New York Times reported that the judge ordered the initial payment in London and that the final figure remains to be determined, with the court assessment taking place to determine the appropriate final sum.
Claimants call it whitewash
After the decision, Prince Harry and Baroness Doreen Lawrence said in a joint statement that "We came to court seeking justice and accountability. But we have received neither," and they described the outcome as "a complete and obvious whitewash."
“We came to court seeking justice and accountability. But we have received neither”
The BBC reported that Sir Simon Hughes told it he was "disappointed" by the judgement and said he was taking time to consider whether to pursue appeals against decisions in either judgment or both.
The BBC also said the seven claimants have until 2 October to attempt to launch an appeal, and it reported that they had insurance to cover up to £16.2m of Associated Newspapers' costs in the event of losing the case.
USA TODAY added that the judge ordered the additional costs should be paid on an "indemnity basis" and said the group could still be forced to pay £18 million, while the claimants prepare to move from California back to Britain as their children start school in September.