36.23—(1) This rule applies where a payment to a claimant following acceptance of a Part 36 offer or Part 36 payment into court would be a compensation payment as defined in section 1 of the Social Security (Recovery of Benefits) Act 1997(1).
(2) A defendant to a money claim may make an offer to settle the claim which will have the consequences set out in this Part, without making a Part 36 payment if—
(a)at the time he makes the offer he has applied for, but not received, a certificate of recoverable benefit; and
(b)he makes a Part 36 payment not more than 7 days after he receives the certificate.
(Section 1 of the 1997 Act defines “recoverable benefit”)
(3) A Part 36 payment notice must state—
(a)the amount of gross compensation;
(b)the name and amount of any benefit by which that gross amount is reduced in accordance with section 8 and Schedule 2 to the 1997 Act; and
(c)that the sum paid in is the net amount after deduction of the amount of benefit.
(4) For the purposes of [F1rule 36.20(1)(a)], a claimant fails to better a Part 36 payment if he fails to obtain judgment for more than the gross sum specified in the Part 36 payment notice.
[F2(4A) For the purposes of rule 36.20(1)(c), where the court is determining whether the claimant has failed to obtain a judgment which is more advantageous than the Part 36 offer made under rule 36.2A, the amount of any lump sum paid into court which it takes into account is to be the amount of the gross sum specified in the Part 36 payment notice.]
(5) Where—
(a)a Part 36 payment has been made; and
(b)application is made for the money remaining in court to be paid out,
the court may treat the money in court as being reduced by a sum equivalent to any further recoverable benefits paid to the claimant since the date of payment into court and may direct payment out accordingly.
Textual Amendments
F1Words in rule 36.23(4) substituted (1.4.2005) by The Civil Procedure (Amendment No. 3) Rules 2004 (S.I. 2004/3129), rules 1, 9(a)
F2Rule 36.23(4A) inserted (1.4.2005) by The Civil Procedure (Amendment No. 3) Rules 2004 (S.I. 2004/3129), rules 1, 9(b)
Commencement Information
I1Rule 36.23 in force at 26.4.1999, see Signature