Want to Drop a Court Claim You Started? How to File a Notice of Discontinuance (N279)

Sometimes a court claim needs to be withdrawn. Perhaps the defendant has paid, the dispute has been resolved informally, you have realised the claim is weaker than you thought, or circumstances have simply changed. Whatever the reason, the legal process for withdrawing a claim in England and Wales is called discontinuance, and it is done using form N279, the notice of discontinuance. This guide covers everything you need to know, including the question most people are really asking: will I end up owing the other side money for pulling out?

What Is a Notice of Discontinuance?

A notice of discontinuance is a formal document that tells the court and the defendant that you are withdrawing your claim. It is governed by CPR Part 38 (Discontinuance).

Once a valid notice of discontinuance is served, the claim (or the part of the claim you are discontinuing) comes to an end. The court does not need to hold a hearing or make any order, the notice itself brings the proceedings to a close.

You can discontinue all of your claim, or just part of it. For example, if you claimed for three unpaid invoices and the defendant has paid two of them, you could discontinue the claim in respect of those two invoices and continue with the third.

When Can You Discontinue?

You can discontinue a claim at any time before trial. The rules on whether you need consent depend on how far the case has progressed:

Before a Defence Is Filed

If the defendant has not yet filed a defence, you can discontinue your claim without needing anyone's consent. You simply file and serve the notice of discontinuance. This is the simplest scenario, it often arises when the defendant pays after receiving the claim form, making the claim unnecessary.

After a Defence Is Filed

If the defendant has filed a defence, you need either:

• The defendant's written consent, the defendant agrees in writing that you can discontinue. This is common when the parties have reached a settlement
• The court's permission, if the defendant will not consent, you can apply to the court for permission to discontinue. The court will consider the circumstances and decide whether to allow it

Costs: What You Actually Pay

This is the question most people want answered before they withdraw a claim. Under CPR Part 38.6, the default rule is:

The good news is that this default rule is just that, a default. It does not apply if you and the defendant have agreed something different, which is exactly what happens in most settlements:

If there is no settlement and you are simply dropping the claim, your costs exposure depends on the track and the stage of proceedings:

• Small claims track: costs are very limited. The court can only award fixed costs (such as the issue fee) and limited witness expenses. Solicitor fees are generally not recoverable, so discontinuing a small claim usually carries minimal costs risk
• Fast track: the defendant may have incurred solicitor fees and other costs that you would be liable for. Fixed costs under CPR Part 45 may apply
• Multi-track: costs can be substantial if the defendant has instructed solicitors and barristers. Discontinuing late in multi-track proceedings can be expensive

If the defendant was a litigant in person (not represented by a solicitor), their recoverable costs are usually limited to out-of-pocket expenses and a modest amount for time spent dealing with the case (under CPR Part 46.5, currently capped at £19 per hour).

Discontinuance vs Settlement

People often confuse discontinuance with settlement, but they are different:

• Discontinuance, the claimant withdraws the claim on their own. No agreement with the defendant is needed (though consent may be required after a defence is filed). Without an agreement, the claimant is usually liable for the defendant's costs
• Settlement, both parties agree to resolve the dispute, usually on agreed terms (for example, the defendant pays a certain amount and each party bears their own costs). The case ends by consent, and the terms are recorded in a consent order or Tomlin order

If the defendant is willing to agree terms, settlement is usually preferable because you can control the costs position. If the defendant will not engage, or the dispute has simply gone away (for example, you no longer have evidence), discontinuance may be the only option.

How to File Form N279

Form N279 is a straightforward document. You need to include:

• The claim number
• The names of the parties (claimant and defendant)
• The court where the claim is proceeding
• Whether you are discontinuing all of the claim or part of it (and if part, which part)
• Whether you have the defendant's consent (if required)
• Your signature and the date

You must file the form with the court and serve a copy on the defendant. The discontinuance takes effect on the date the notice is served on the defendant, not the date you file it with the court.

What Happens After You Discontinue

Once a valid notice of discontinuance has been served:

• The claim ends, the proceedings are over (or the discontinued part is over, if you only discontinued part of the claim)
• Costs become payable (if owed), the defendant can assess their costs and request payment from you. If you do not agree the amount, they can apply for a detailed assessment by the court
• Bringing the claim again, under CPR rule 38.7, you generally need the court's permission to bring a new claim based on the same or substantially similar facts. This is to stop claimants using discontinuance as a tactical tool
• The court record is updated, the court file is marked to show the claim has been discontinued

Common Reasons for Withdrawing a Claim

• The defendant has paid, the most common reason. The defendant pays the claimed amount (or an agreed amount) after proceedings are issued, making the claim unnecessary
• Settlement reached, the parties agree terms informally. In this case, a consent order or Tomlin order is usually better than a notice of discontinuance, but some claimants prefer the simplicity of discontinuance
• Weak or lost evidence, you realise your evidence is not strong enough, a key witness is no longer available, or new information undermines your case
• Costs risk, the case is becoming more expensive to pursue than it is worth, particularly if the defendant has a strong defence or counterclaim
• Commercial decision, the relationship with the defendant is more valuable than the claim amount, and continuing the litigation is damaging it
• Change of circumstances, the underlying facts have changed (for example, you discovered the defendant is insolvent and there is no prospect of recovery)

Common Mistakes to Avoid

• Discontinuing without considering costs, always think about costs before filing. In small claims, the exposure is usually minimal. In fast track or multi-track, it can be significant. If you have settled, agree the costs position in writing first
• Forgetting to serve the defendant, the discontinuance only takes effect when the notice is served on the defendant, not when you file it with the court. Make sure you serve a copy
• Not getting consent when required, if the defendant has filed a defence, you need their written consent or the court's permission. Filing a notice without consent is invalid
• Assuming you can refile easily, if you discontinue and then want to bring the same claim again, you need the court's permission. Do not assume you can withdraw and start again without consequences
• Not considering partial discontinuance, if only part of your claim has been resolved, you can discontinue that part and continue with the rest. You do not have to withdraw everything

Fees

There is no court fee to file a notice of discontinuance. You may still be liable for the defendant's costs, which is a separate issue from court fees, and is covered in the costs section above.

Frequently Asked Questions