CPR Part 36 Settlement Offer Letter
Make a formal settlement offer under CPR Part 36 with automatic costs consequences if the offer is not beaten at trial.
This template was not drafted by a solicitor.
It is an editorial reference based on the official sources we cite. You are responsible for any document you send. For high-stakes matters (court proceedings, large sums, deportation, criminal allegations, child welfare), have a regulated solicitor review or draft your document.
When to use this template
Use this letter when you wish to make a formal settlement offer that carries statutory costs consequences under CPR Part 36. The offer must be made in writing and must comply with the formal requirements of Part 36 to attract its costs protection. Suitable for claimants and defendants at any stage of proceedings.
When NOT to use this template
Do not use if you wish to make a without-prejudice offer that does not trigger Part 36 costs consequences — use the Without Prejudice Settlement Offer template instead. Do not use for claims covered by fixed-costs regimes where Part 36 operates differently, without taking legal advice.
Legal Basis
Civil Procedure Rules Part 36 (CPR r.36.5 — form and content of Part 36 offer; r.36.17 — costs consequences after judgment). The offer must state it is made pursuant to Part 36, specify the relevant period (not less than 21 days), and state whether it relates to the whole or part of the claim.
Before you send
- Failing to state that the offer is intended to have the costs consequences of Part 36 — without this the offer is not a valid Part 36 offer
- Setting a relevant period of less than 21 days, which invalidates the offer
- Not specifying whether the offer is to settle the whole claim or only a part
Common Mistakes to Avoid
- ✗Failing to state that the offer is intended to have the costs consequences of Part 36 — without this the offer is not a valid Part 36 offer
- ✗Setting a relevant period of less than 21 days, which invalidates the offer
- ✗Not specifying whether the offer is to settle the whole claim or only a part
- ✗Leaving the offer open without a clear relevant period end date, causing confusion about when Part 36 costs consequences crystallise
- ✗Including terms that are inconsistent with Part 36 (e.g. conditional on no appeal), which can invalidate the offer
Build Your Letter
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Letter preview
[YOUR FULL NAME / FIRM NAME]
[YOUR ADDRESS]
[YOUR EMAIL ADDRESS]
[DATE OF LETTER]
[OPPONENT'S NAME / FIRM]
[OPPONENT'S ADDRESS]
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Dear [SALUTATION (E.G. SIR OR MADAM / MS JONES)],
**PART 36 OFFER — [CLAIM NUMBER OR REFERENCE]**
**[CLAIMANT'S FULL NAME] v [DEFENDANT'S FULL NAME]**
I write on behalf of [NAME OF PARTY MAKING THE OFFER] ("the Offeror"). This letter constitutes a formal offer to settle the above proceedings pursuant to Part 36 of the Civil Procedure Rules 1998.
**The Offer**
The Offeror offers to settle this claim, in its entirety, on the following terms:
The [ROLE OF PARTY PAYING (CLAIMANT / DEFENDANT)] will pay to the [ROLE OF PARTY RECEIVING (CLAIMANT / DEFENDANT)] the sum of **£[OFFER AMOUNT (FIGURES)]** ([OFFER AMOUNT (WORDS)] pounds) in full and final settlement of all claims, counterclaims, and any other matters arising out of or connected with these proceedings.
**Relevant Period**
This offer is open for acceptance for a period of 21 days from the date of service of this letter (the "relevant period"), pursuant to CPR r.36.5(1)(c). The relevant period therefore expires on **[DATE RELEVANT PERIOD EXPIRES (21 DAYS FROM SERVICE)]**.
This offer may be accepted after the relevant period has expired, provided proceedings have not been concluded, subject to the permission of the Court as to costs in accordance with CPR r.36.11(3)(d).
**Costs**
If this offer is accepted within the relevant period, [CLAIMANT'S FULL NAME] will be entitled to costs in accordance with CPR r.36.13.
If this offer is not accepted and the Offeror obtains a judgment at trial that is at least as advantageous as this offer, the costs consequences set out in CPR r.36.17 will apply. These include the possibility that the Offeror will be entitled to indemnity costs from the expiry of the relevant period, together with interest on those costs at up to 10% above base rate, and an additional amount not exceeding £75,000 under CPR r.36.17(4)(d).
**This is a Part 36 Offer**
This offer is intended to have the costs consequences of Part 36 of the Civil Procedure Rules. Nothing in this letter is to be construed as an admission of liability.
Please confirm acceptance in writing by **[DATE RELEVANT PERIOD EXPIRES (21 DAYS FROM SERVICE)]** at the latest.
Yours faithfully,
[YOUR FULL NAME / FIRM NAME]Unfilled fields appear as [FIELD NAME]. Review the letter carefully before sending. This template is a starting point — adapt it to your specific circumstances.