Commencing a claim - Jurisdiction of specialist courts

Learning Outcomes

This article outlines the allocation of civil claims and selection of the appropriate forum in England and Wales, including:

• Forum selection criteria across the County Court, High Court, and specialist courts, focusing on value, complexity, subject matter, and public importance.
• Financial thresholds for starting claims in each court and how these interact with complexity factors when deciding where to issue.
• Jurisdiction, procedural features, and typical case types of key specialist courts (Commercial Court, TCC, Administrative Court, Admiralty Court, IPEC, Patents Court).
• The structure, regional centres, and case management approach of the Business and Property Courts within the High Court.
• Key distinctions between IPEC and the Patents Court, including value limits, costs regimes, procedural intensity, and suitability for technical evidence.
• The scope of the Administrative Court’s judicial review and statutory appeal jurisdiction, with emphasis on permission, promptness, and suitable remedies.
• Transfer powers between courts and specialist lists under the CPR, and the potential delay and adverse costs risks of issuing in the wrong forum.
• Application of allocation and jurisdiction rules to realistic SQE1-style fact patterns, reinforcing exam technique and precise issue-spotting under time pressure.

SQE1 Syllabus

For SQE1, you are required to understand the allocation of civil claims between the County Court, High Court, and specialist courts, with a focus on the following syllabus points:

• The financial thresholds and criteria for starting claims in the County Court or High Court, including PD 7A and how “value” is assessed for allocation purposes.
• The specific jurisdiction and function of key specialist courts, including the Commercial Court, Technology and Construction Court (TCC), Administrative Court, Admiralty Court, and Intellectual Property lists (IPEC and Patents Court).
• The structure and role of the Business and Property Courts and the availability of regional centres (e.g., Birmingham, Bristol, Cardiff, Leeds, Manchester, Newcastle).
• How to identify the appropriate court or specialist list for different types of disputes, considering both value and subject matter (e.g., construction adjudication enforcement in the TCC; judicial review in the Administrative Court).
• When claims must be brought in the High Court (e.g., defamation claims in the Media & Communications List; judicial review) versus cases that can be managed in the County Court.
• The power to transfer proceedings between courts and the potential costs consequences of issuing in an inappropriate forum.
• The importance of correct court selection for procedural efficiency and costs, including features such as IPEC’s streamlined procedures and costs capping.

Test Your Knowledge

Attempt these questions before reading this article. If you find some difficult or cannot remember the answers, remember to look more closely at that area during your revision.

1. A business wishes to bring a £90,000 contract claim involving straightforward facts. In which court must the claim be started?
2. Which specialist court is most appropriate for a £2 million dispute over defective engineering works requiring technical expert evidence?
3. What is the main advantage of commencing an intellectual property dispute in the IPEC rather than the general Chancery Division?
4. Name two factors, other than claim value, that may justify starting a claim in the High Court.

Introduction

Selecting the correct court is a critical first step when commencing a civil claim. The Civil Procedure Rules (CPR) and accompanying Practice Directions set out clear rules for allocating business between the County Court and High Court, primarily based on the value and complexity of the claim. Within the High Court, a number of specialist courts exist to handle particular types of disputes, such as complex commercial, construction, or intellectual property cases. Understanding these jurisdictional rules ensures claims are heard efficiently and by judges with specialist knowledge in particular areas and often use tailored procedures. Issuing in the right forum also reduces the risk of transfer, delay and adverse costs consequences.

Key Term: Jurisdiction
The legal authority of a court to hear and decide a particular type of case.

Allocation Between the County Court and High Court

The main distinction for starting proceedings is between the County Court and the High Court. The CPR and Practice Direction 7A set out the financial thresholds and other criteria for allocation. In addition to value, the nature of the dispute, the remedies sought, and the public importance or legal complexity will steer forum choice.

Claim Value Thresholds

• County Court: Claims with a value of £100,000 or less must be started in the County Court. For personal injury claims, the threshold is £50,000 or less.
• High Court: Claims over £100,000 (or over £50,000 for personal injury) may be started in the High Court.

Key Term: County Court
The main civil court for lower-value and less complex claims in England and Wales.

Key Term: High Court
A senior civil court dealing with higher-value, complex, or important cases, divided into specialist divisions.

These thresholds are starting points. A claim above the threshold can still be issued in the County Court, and a claim below the threshold started in the High Court may be transferred or attract costs sanctions unless justified. When assessing “value”, interest and costs are not included in the statement of value for allocation purposes.

Other Criteria for High Court Allocation

Even if a claim is only slightly above the threshold, the High Court may be appropriate if:

• The facts, legal issues, remedies, or procedures are complex.
• The outcome is of general public importance.

If these factors apply, the claimant should state this on the claim form. The court can transfer cases between courts to ensure proper handling. Applications with specialist challenges or urgent relief (e.g., interim injunctions) can also point towards the High Court where judicial resources and specialist lists are appropriate.

Key Term: Business and Property Courts
An umbrella grouping within the High Court bringing together specialist jurisdictions (e.g., Commercial Court, TCC, Chancery lists) in London and regional centres to manage complex business, property, and technology disputes.

Venue, transfer and cost risk

The court can order transfer under CPR 30 if a claim has been started in an inappropriate forum, taking into account convenience, specialist judicial skills, and efficient management. Starting in the wrong court risks delay and adverse cost orders, particularly if the chosen forum materially increases costs or burdens court resources without justification.

Specialist Courts in the High Court

Within the High Court, certain types of cases are handled by specialist courts or lists. These courts have judges with specialist knowledge in particular areas and often use tailored procedures.

The Business and Property Courts

The Business and Property Courts (B&PCs) group together several specialist courts in major centres across England and Wales. The main specialist courts for SQE1 purposes are:

• London (Rolls Building) and regional centres in Birmingham, Bristol, Cardiff, Leeds, Manchester, and Newcastle.
• Unified listing and case management across the specialist lists to ensure suitable judicial experience, proportionate directions, and efficient trial timetables.

Commercial Court

The Commercial Court, part of the King's Bench Division, handles complex national and international business disputes. Typical cases include:

• Disputes over commercial contracts and business documents.
• Banking and financial services.
• Insurance and reinsurance.
• International trade, shipping, and commodities.
• Arbitration-related claims (e.g., challenges and enforcement issues).

Key Term: Commercial Court
A specialist High Court court for complex commercial and international business disputes.

Commercial Court proceedings are typically managed proactively, often requiring early identification of issues, realistic trial estimates, disclosure filters suitable for complex datasets, and focused expert evidence. Arbitration-related applications under the Arbitration Act are commonly heard here.

Technology and Construction Court (TCC)

The TCC, also in the King's Bench Division, specialises in:

• Building and engineering disputes.
• Professional negligence claims against construction professionals.
• IT and technology disputes.
• Environmental claims linked to construction.
• Challenges to adjudication or arbitration decisions in construction.

Key Term: Technology and Construction Court (TCC)
A High Court specialist court for construction, engineering, and technology disputes.

Claims in the TCC are usually over £250,000, but lower-value claims with technical complexity or an international element may be accepted. The TCC frequently hears enforcement of adjudicators’ decisions, urgent injunctions (e.g., to restrain calls on performance bonds), and multi-party disputes requiring active case management.

Chancery Division Specialist Lists

The Chancery Division covers a wide range of business and property litigation, including:

• Trusts and probate.
• Insolvency and company law.
• Partnership disputes.
• Intellectual property (IP).

Key specialist lists include:

• Intellectual Property Enterprise Court (IPEC): Handles IP disputes (patents, trademarks, copyright, designs) with streamlined procedures and capped costs, suitable for lower-value or less complex claims (generally up to £500,000, with a small claims track for claims under £10,000).
• Patents Court: Deals with complex or high-value patent and registered IP disputes (typically over £500,000), often involving highly technical expert evidence and specialist judicial management.

Key Term: Intellectual Property Enterprise Court (IPEC)
A Chancery Division specialist court for lower-value or less complex IP disputes, with capped costs and streamlined process.

Key Term: Patents Court
A Chancery Division specialist court for complex or high-value patent and registered design disputes requiring technical knowledge.

IPEC’s features—streamlined pleadings, limited disclosure and oral evidence, firm trial time limits, and costs capping—make it an efficient forum for SMEs and creatives. In contrast, the Patents Court is tailored to heavyweight technical disputes that demand broader disclosure, multiple expert disciplines, and longer trials.

Administrative Court

The Administrative Court, part of the King's Bench Division, exercises the High Court’s supervisory jurisdiction. It mainly hears:

• Judicial review claims challenging the lawfulness of decisions by public bodies.
• Statutory appeals and applications (e.g., planning appeals).

Key Term: Administrative Court
The High Court’s supervisory jurisdiction, hearing judicial review and statutory appeals against decisions of public bodies and tribunals.

Judicial review claims must be brought promptly (and in any event within the applicable time limits) and are subject to a permission stage, tight case management, and specialist public law judges.

Admiralty Court

The Admiralty Court, also within the King's Bench Division, deals with maritime claims such as:

• Ship collisions.
• Salvage.
• Carriage of goods by sea.
• Ship mortgages and limitation actions.

Key Term: Admiralty Court
The High Court’s specialist maritime court, hearing in rem and in personam claims (e.g., collision, salvage, cargo carriage, maritime limitation).

Admiralty proceedings include distinctive procedures (e.g., in rem arrests of vessels) and often involve international parties, marine insurance issues, and complex navigation evidence.

Worked Example 1.1

A construction company is sued for £1.5 million over alleged defects in a major infrastructure project. The dispute involves complex engineering evidence and multiple expert reports. Which court is most appropriate?

Answer:
The claim value is well above the High Court threshold, and the technical complexity points to the Technology and Construction Court (TCC) in the High Court.

Worked Example 1.2

A small business wants to sue a competitor for copying its registered design, claiming £100,000 in damages and seeking an injunction. Which court should the claim be started in?

Answer:
This is an intellectual property dispute of moderate value. The Intellectual Property Enterprise Court (IPEC) is suitable due to its streamlined process and costs cap.

Worked Example 1.3

A claimant seeks to challenge a local planning authority’s refusal of permission under public law grounds and needs urgent interim relief. Which forum is appropriate?

Answer:
This is a supervisory public law challenge and belongs in the Administrative Court (King’s Bench Division) by way of judicial review, subject to permission and prompt filing.

Worked Example 1.4

A shipowner seeks to bring a claim arising from a collision at sea and wishes to arrest a vessel to secure the claim. Which court hears this dispute?

Answer:
Maritime collision and vessel arrest proceedings are heard in the Admiralty Court (Business and Property Courts within the King’s Bench Division).

Worked Example 1.5

An independent designer alleges trade mark infringement valued at £9,500 and wants a swift and cost-controlled resolution. Which route is most efficient?

Answer:
The IPEC small claims track is designed for low-value IP disputes (≤ £10,000) and offers streamlined procedures and tight cost control.

Worked Example 1.6

Shareholders in a private company seek declarations and relief regarding alleged breaches of fiduciary duties and unfair prejudice. The claim value is £1.2 million but the legal issues are central. Where should they issue?

Answer:
This is a business/company law matter. It should be issued in the Chancery Division within the Business and Property Courts, which offers the appropriate specialist list.

Worked Example 1.7

A party wishes to challenge an arbitral award for serious irregularity. Which specialist court handles such applications?

Answer:
Arbitration-related challenges are typically heard in the Commercial Court, which regularly manages Arbitration Act applications.

Exam Warning

Do not rely solely on claim value. A high-value but simple claim may be suitable for the County Court, while a complex technical case may justify the High Court or a specialist court even if the value is only slightly above the threshold. Always consider both value and subject matter. Remember that issuing in a forum without proper justification may lead to transfer and adverse costs consequences. For allocation, the statement of value excludes interest and costs.

Revision Tip

When deciding where to start a claim, first identify the main legal area (e.g., commercial, construction, IP, public law, maritime). This will help you select the correct specialist court or division. Also, consider whether a regional Business and Property Courts centre is suitable to reduce costs and improve convenience.

Summary

Key Point Checklist

This article has covered the following key knowledge points:

• Claims up to £100,000 (£50,000 for personal injury) must be started in the County Court.
• Claims over these thresholds may be started in the High Court, especially if complex or of public importance.
• Starting in the wrong forum risks transfer and adverse costs; state reasons for High Court issue where appropriate.
• The High Court includes specialist courts for commercial, construction, intellectual property, public law and maritime disputes.
• The Business and Property Courts provide unified specialist lists in London and regional centres.
• The Commercial Court, TCC, and IPEC are the main specialist courts for business, construction, and IP claims, with the Patents Court available for heavyweight technical IP disputes.
• The Administrative Court hears judicial review and statutory public law matters; the Admiralty Court handles maritime claims.
• Correct court selection ensures efficient case management, appropriate directions, and access to specialist judges.

Key Terms and Concepts

• Jurisdiction
• County Court
• High Court
• Business and Property Courts
• Commercial Court
• Technology and Construction Court (TCC)
• Intellectual Property Enterprise Court (IPEC)
• Patents Court
• Administrative Court
• Admiralty Court