A trial judge exercising the costs discretion must take into account the fact that a plaintiff obtained a judgment exceeding the defendant's offer of compromise, even where the plaintiff has been found guilty of conscious exaggeration; failure to do so vitiates the exercise of discretion. While delay and increased expense caused by misconduct are highly relevant to departing from the usual costs order, they are not essential prerequisites. Payments by an insurer under s 45 of the Motor Accidents Act 1988 before liability is established are not capable of constituting admissions that injuries continued to endure between the date expenses were incurred and the date of payment.
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