The Civil Procedure Rules 1998

The effect of acceptance of a Part 36 offer or a Part 36 payment

36.15—(1) If a Part 36 offer or Part 36 payment relates to the whole claim and is accepted, the claim will be stayed^(GL).

(2) In the case of acceptance of a Part 36 offer which relates to the whole claim—

(a) the stay^(GL) will be upon the terms of the offer; and

(b) either party may apply to enforce those terms without the need for a new claim.

(3) If a Part 36 offer or a Part 36 payment which relates to part only of the claim is accepted—

(a) the claim will be stayed^(GL) as to that part; and

(b) unless the parties have agreed costs, the liability for costs shall be decided by the court.

(4) If the approval of the court is required before a settlement can be binding, any stay^(GL) which would otherwise arise on the acceptance of a Part 36 offer or a Part 36 payment will take effect only when that approval has been given.

(5) Any stay^(GL) arising under this rule will not affect the power of the court—

(a) to enforce the terms of a Part 36 offer;

(b) to deal with any question of costs (including interest on costs) relating to the proceedings;

(c) to order payment out of court of any sum paid into court.

(6) Where—

(a) a Part 36 offer has been accepted; and

(b) a party alleges that—

(i) the other party has not honoured the terms of the offer; and

(ii) he is therefore entitled to a remedy for breach of contract,

the party may claim the remedy by applying to the court without the need to start a new claim unless the court orders otherwise.