How may proceedings change after Covid-19?
During the COVID-19 global pandemic, trials and hearings have been mostly conducted over Skype for Business and various other online platforms. Looking forward to the future, what we have experienced during the lock-down may continue and we believe will make litigation a more streamlined, user friendly experience for litigants.
One example of a regime which has been introduced is hybrid trials for lower value claims. Hybrid trials allow for parties and their witnesses to be linked into the court room by video link, whilst the judge and advocates are present in court. This makes it easier and frees up more time for witnesses, which would otherwise be spent in travel and waiting time, especially for those with other commitments.
With hybrid trials, clients still get a full legal experience and the judge will still apply normal legal principles during the trial. The procedure for the case is the same, both leading up to the trial or hearing and during the case itself; except without the need to physically attend court. It may also mean that there will be less of a backlog arising from the current crisis with cases continuing to be heard, allowing for matters to be listed earlier and a quicker outcome for the parties involved.
The shift to the use of online platforms may prove more practical for all those involved in legal matters. Interim hearings can be heard remotely resulting in a time and cost saving for litigants. Even for the final hearing only the legal representatives need to attend court – again resulting in time and cost savings for all concerned.
Related FAQs
The CMA is particularly concerned about certain activities, its guidance highlights:
- Exchange of commercially sensitive information where this is not necessary in response to the crisis
- Collaboration which unfairly excludes third parties
- Abuse of a dominant position (including a dominant position held as a result of the crisis) – particularly to charge excessive prices
- Seeking to maintain prices or prevent reductions in prices
- Cooperation going beyond what is necessary to respond to the crisis in the interests of consumers
Some examples of the key questions to ask include:
- Is there still a viable underlying business that is likely to continue beyond the current crisis?
- What does the revised short to medium cash flow look like and will the company continue to be able to pay its liabilities?
- Does the company have the support of all of its stakeholders – lenders, shareholders, customers, suppliers and banks – even though the business might be in breach of its own obligations?
- What measures could (and should) the board put in place to protect creditors, including making sure that exposure to creditors (both collectively and individually) is not increased, assets are not sold at less than value and no creditor is treated more favourably than another?
- Is there still a reasonable prospect of the business avoiding liquidation or administration?
The key question is always whether accepting the money is in the best interests of creditors as a whole bearing in mind that accepting Government support and continuing to trade might increase the company’s overall liabilities. Directors should be mindful that if the business fails, their decisions during this critical time may be scrutinised and it is therefore important that directors have up-to-date financial information and projections to form the basis of any decisions, take stock, get the right advice and document the decisions that are taken.
Where an apprentice is made redundant the training provider should support the apprentice in seeking alternative employment within a 12 week period. ESFA will support this process. Where an apprentice is placed on unpaid leave or the nature of their employment no longer supports their apprenticeship, it should be considered whether a break in learning would be appropriate.
An employer who wishes to make an apprentice redundant should seek advice on the process to be followed for this.
A new Permitted Development Right has been introduced providing restaurants and cafes, drinking establishments with expanded food provision to temporarily provide takeaway food. The new right came into force on 24 March 2020 and expires on 23 March 2021. The right is subject to three conditions:
- The developer must notify the local planning authority if the building and any land within its curtilage is being used, or will be used, for the provision of takeaway food at any time during the relevant period
- Change of use to the provision of takeaway food under the Right, does not affect the use class which the building and any land within its curtilage had before the change of use
- If the developer changes use to the provision of takeaway food under the Right, the use of the building and any land within its curtilage reverts to its previous lawful use when the Right expires or, if earlier, when the developer ceases to provide takeaway food.
Alcohol will still be subject to the same licensing requirements. At this stage, it is not clear how the Right will interact with any current planning conditions placed on an establishment. Enforcement however remains discretionary. A link to Statutory Instrument 2020 No.330 is below.
The guidance asks parties to act responsibly and fairly in performing and enforcing contracts. They are encouraged to act in a spirit of cooperation to achieve practical, just and equitable outcomes. In essence, rather than sticking strictly to the contract as agreed, they are encouraged to give each other leeway to deliver performance differently than they are required to do under the contract.