The costs cap in Division 5B of the Legal Profession Act 1987 (now Division 9 of the Legal Profession Act 2004) does not apply to costs incurred by a cross-defendant in defending a contribution cross-claim, because a cross-defendant is not a 'defendant' within s 198C(1) and the legal services are not provided 'in connection with' the plaintiff's personal injury claim. The costs cap does not apply to any party where the plaintiff recovers nothing. However, a defendant's own costs of pursuing a cross-claim for contribution may be subject to the cap.
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