Licensing: third party costs orders

In the first High Court judgment on third party costs orders in licensing cases, the High Court has overturned a costs decision of a District Judge. Philip Kolvin QC explains why.

In Aldemir v Cornwall Council [2019] EWHC 2407 (Admin) Mr Aldemir was the designated premises supervisor of the Beach Bar in Newquay and also owned the premises. The premises licence was held by Eden Bar Newquay Limited. The licence was revoked by Cornwall Council following a review, and the company appealed. Its appeal was unsuccessful.

Just before judgment was delivered, the Council notified the solicitor instructed by the company that it intended to apply for costs personally against Mr Aldemir, who was not present in court or represented. The solicitor applied for an adjournment, but this was refused. The court granted the solicitor 15 minutes to call Mr Aldemir before proceeding to order costs against him.

On an appeal by case stated, Mr Justice Swift held that although there is jurisdiction to order third party costs according to the well-known principles set out in the case law, a fair procedure had to be followed involving giving appropriate notice to the third party concerned. He quashed the costs order and remitted it for redetermination, as well as making a partial costs order against the council.

Philip Kolvin QC is a barrister at Cornerstone Barristers. Together with David Dadds, he appeared for Mr Aldemir, instructed by Dadds LLP.