What Is A Part 36 Offer And Should You Accept One?

If you're pursuing a cycling accident claim, you may hear your solicitor mention something called a "Part 36 offer."

For many injured cyclists, it's an unfamiliar legal term that can seem confusing or intimidating.

However, understanding what a Part 36 offer is and how it works can be incredibly important. The decision to accept or reject one can have a significant impact on the outcome of your claim.

What Is A Part 36 Offer?

A Part 36 offer is a formal settlement offer made under the Civil Procedure Rules.

Either side can make a Part 36 offer, although they are most commonly made by insurers during compensation claims.

The purpose of a Part 36 offer is to encourage both parties to settle disputes without the need for a costly and time-consuming trial.

Unlike an informal settlement offer, a Part 36 offer carries potential legal and financial consequences depending on how the case ultimately resolves.

Why Are Part 36 Offers Important?

Part 36 offers are important because they can affect more than just the amount of compensation you receive.

They can also influence:

• Legal costs

• Interest payments

• The financial outcome of the case

• The risks associated with continuing litigation

This is why every Part 36 offer should be considered carefully and discussed with your solicitor before making a decision.

What Happens If You Accept A Part 36 Offer?

If you accept a Part 36 offer, the claim will usually settle on the agreed terms.

In most cases:

• You receive the agreed compensation.

• The legal claim comes to an end.

• Both parties avoid the uncertainty of further litigation.

While this can provide certainty and closure, it is important to remember that compensation settlements are generally final.

If your injuries later prove more serious than expected, you will not normally be able to return and seek additional compensation.

What Happens If You Reject A Part 36 Offer?

Rejecting a Part 36 offer is not necessarily a mistake.

In some cases, it can be the correct decision.

However, rejecting a Part 36 offer does carry risks.

If the case later settles or proceeds to trial and you fail to achieve a better outcome than the offer you rejected, there may be cost consequences.

This is why the strength of the evidence and the likely value of the claim need to be carefully assessed before any decision is made.

A Real Example From One Of Our Cases

We acted for a cyclist who suffered serious injuries after being dragged beneath an HGV while riding along London's Cycle Superhighway 7.

The insurer initially denied liability before eventually admitting responsibility after High Court proceedings were issued and witness evidence was exchanged.

Once liability was admitted, the insurer made a Part 36 offer of £50,000.

Having reviewed the medical evidence and the long-term impact of the injuries, we advised our client to reject the offer.

The insurer later increased its Part 36 offer to £100,000.

Again, we advised against settlement.

The case eventually resolved at a Joint Settlement Meeting for £150,000.

Had our client accepted the first Part 36 offer, she would have received £100,000 less than the final settlement achieved.

Why Specialist Legal Advice Matters

Every cycling accident claim is different.

The right decision depends on a range of factors, including:

• The severity of your injuries

• Medical evidence and prognosis

• Loss of earnings

• Future treatment needs

• Care requirements

• The strength of the available evidence

A Part 36 offer should never be viewed in isolation. It must be considered in the context of the overall value of the claim and the risks involved in continuing the case.

The Key Takeaway

A Part 36 offer is one of the most important stages of many cycling accident claims.

Sometimes accepting an offer is the right decision.

Sometimes rejecting it is the right decision.

The key is ensuring that the decision is based on a clear understanding of your claim, the available evidence and the potential consequences of either course of action.

Before accepting or rejecting a Part 36 offer, it is always worth seeking advice from a specialist cycling solicitor who understands both the legal risks and the true value of your claim.