BITE SIZE KNOW HOW FROM THE ENGLISH COURTS
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The High Court has rejected arguments that an underspend in respect of sums in a costs budget constituted a “good reason” to depart from the budget, commenting that if an underspend were to amount to a good reason, it would be liable to substantially undermine the effects of costs budgeting and the aim of reducing the need for and scope of detailed assessments. However, an underspend was contrasted with the situation where a budgeted phase is not substantially completed, where it would be unjust for a receiving party to receive the full amount of a budgeted sum where only a modest amount of the expected work had been done.
Utting v City College Norwich