Costs of £4,490 for bringing a claim with no reasonable prospect of success
A former employee who brought claims of unfair dismissal, disability discrimination and holiday pay arrears has been ordered to pay £4,490 in costs after failing to attend hearings and ignoring a Calderbank offer.
1 min read · Last updated 19 May 2026
Case details
- #costs-order
- #vexatious-conduct
- #unreasonable-conduct
- #calderbank-letter
- #strike-out
Key facts
- The claimant presented claims of unfair dismissal, disability discrimination, and arrears of holiday pay on 12 February 2023.
- The respondent argued the claims had no reasonable prospect of success and were out of time.
- The claimant failed to attend a preliminary hearing on 5 May 2023 and did not comply with an unless order.
- The claims were dismissed on 19 June 2023 due to the claimant's failure to comply with the unless order.
- The respondent made a Calderbank offer that the claimant did not accept.
- The claimant did not provide any details of her means despite being asked.
Timeline
-
Claim presented
The claimant presented claims of unfair dismissal, disability discrimination, and arrears of holiday pay.
-
Respondent raised interpreter issue
The respondent informed the tribunal that the claimant may require an interpreter and/or permission to give evidence from abroad.
-
Preliminary hearing
The claimant failed to attend the preliminary hearing. Employment Judge O'Neill made an unless order requiring compliance by 5 June 2023.
-
Unless order deadline
The claimant failed to comply with the unless order, leading to automatic dismissal of the claims.
-
Strike out confirmed
The tribunal confirmed that the claims were dismissed as of 5 June 2023 due to non-compliance.
-
Costs judgment
The tribunal ordered the claimant to pay costs of £4,490 plus VAT for acting vexatiously and unreasonably.
The legal issue
The tribunal had to decide whether the respondent should be awarded costs because the claimant acted vexatiously, abusively, disruptively, or otherwise unreasonably in bringing or conducting the proceedings, and whether the claims had no reasonable prospect of success.
The outcome
The tribunal granted the respondent's costs application and ordered the former employee to pay £4,490 plus VAT.
- The claimant presented claims of unfair dismissal, disability discrimination, and arrears of holiday pay on 12 February 2023.
- The respondent argued the claims had no reasonable prospect of success and were out of time, and made a Calderbank offer warning of costs if the claim was not withdrawn.
- The claimant failed to attend a preliminary hearing, did not comply with an unless order, and the claims were automatically struck out on 5 June 2023.
- The tribunal concluded the claimant's conduct was vexatious and unreasonable, and the claims had no reasonable prospect of success.
- The costs awarded were £4,490 plus VAT, based on the respondent's legal costs.
Lessons & takeaways
- If you receive a Calderbank letter warning of costs, take it seriously and consider withdrawing a weak claim to avoid a costs order.
- Attend all tribunal hearings and comply with unless orders, or your claim may be automatically struck out.
- Claims with no reasonable prospect of success, such as those clearly out of time or lacking qualifying service, can lead to costs being awarded against you.
- Failing to respond to tribunal requests or provide details of your means can result in a costs order being made without your input.
This case shows the risks of pursuing a tribunal claim that has little chance of success, especially when the other side has warned you of the consequences. The former employee brought claims of unfair dismissal, disability discrimination, and holiday pay arrears, but the respondent pointed out that she lacked sufficient qualifying service for an unfair dismissal claim and that all claims were presented well out of time. Despite a Calderbank letter offering to waive costs if she withdrew, the claimant pressed on.
What went wrong
The claimant failed to attend a preliminary hearing and ignored an unless order requiring her to confirm whether she intended to continue. This led to the automatic strike-out of her claims. The respondent then applied for costs, arguing the claims had no reasonable prospect of success and that the claimant's conduct was vexatious and unreasonable. The tribunal agreed, noting that the claimant had been given every opportunity to engage but chose not to.
What the losing side could have done differently
The claimant could have avoided the costs order by withdrawing the claim after receiving the Calderbank letter, or by attending the preliminary hearing and complying with tribunal orders. Even if she believed her claims had merit, engaging with the process and providing an explanation for her non-compliance might have led to a different outcome.
Why this matters
This case is a reminder that employment tribunals can order costs against a party who acts unreasonably or pursues a hopeless claim. While costs are not automatic, the tribunal has discretion to award them where a party's conduct is vexatious or the claim has no reasonable prospect of success. For claimants, it underscores the importance of taking legal advice early and considering settlement offers carefully.
Similar cases
Claim struck out for failing to comply with tribunal orders
A former employee's unfair dismissal claim against Gateshead Health NHS Foundation Trust was struck out after he failed to comply with tribunal orders and did not respond to correspondence. He was ordered to pay £187.50 in costs.
Claims struck out after housing officer failed to serve witness statement
A former housing officer's unfair dismissal and discrimination claims were struck out after she repeatedly failed to serve a witness statement, despite extensions and warnings. She was also ordered to pay £3,870 in costs.
Protected disclosure claim struck out: disclosure made after dismissal cannot save unfair dismissal case
A locum lawyer's claim for automatic unfair dismissal over alleged whistleblowing was struck out because the disclosure came months after his engagement ended. He was also ordered to pay £8,000 in costs for unreasonable conduct.
Claim struck out after claimant stopped engaging with tribunal and employer
A former employee who submitted an unfair dismissal claim and then cut all contact has had his case struck out and been ordered to pay £723.80 in costs.