Prince Harry and co-claimants face £34.5m legal bill in phone hacking case

The Duke of Sussex and his six fellow co-claimants face potential multi-million-pound personal losses following the dismissal of their phone hacking lawsuit against the publishers of the Daily Mail, Associated Newspapers Limited (ANL). Following the High Court's ruling on 7 July dismissing all claims of unlawful information gathering, a two-day costs hearing opened to determine financial liabilities.

The court heard that ANL's reported defence costs amounted to £34.5 million over a four-year period, creating a substantial shortfall against the claimants' £16.2 million insurance coverage. ANL is seeking indemnity costs, which would require the losing parties to pay without any proportionality assessment, alongside an immediate interim payment of roughly £9.95 million. ANL argued that indemnity costs are justified due to the broad, serious nature of the allegations and accused the claimants of pursuing a campaign to swamp the publisher.

In contrast, legal counsel for the claimants requested costs be assessed on a standard basis, offering an £8 million interim payment. The claimants accused ANL of a cavalier approach that caused its legal costs to exceed approved budgets by more than £18.6 million without prior notice, leaving the claimants effectively uninsured for the excess. 

The hearing continues...

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