Credit hire claim struck out following a finding of fundamental dishonesty in a personal injury claim

A Circuit Judge sitting in the Central London County Court has allowed an appeal made by the Defendant Insurer, Aviva Insurance, to strike out the whole of the claim following a finding of fundamental dishonesty in a personal injury claim.  

In Basir v Larizadeh, despite the first instance judge finding the Claimant wholly unbelievable in relation to injuries suffered, the Claimant was still awarded damages for their credit hire claim and costs. The judge at first instance interpreted the word ‘claim’ in section 57 of the Criminal Courts and Justice Act 2015, as referring only to the claim for personal injury, meaning damages could still potentially be awarded for other losses, such as vehicle damages and credit hire claims for example.

On appeal His Honour Judge Saunders dismissed the whole of the claim expressing that the first decision would give perverse results where a claimant who had completely fabricated their claim for personal injuries would be in a better position in claiming vehicle damages that a claimant who had merely exaggerated their injuries.

This decision will send an important message to those attempting to make fabricated heads of claim, that courts are likely to dismiss an entire claim if any part of it is found to be dishonest, and provides insurers with a further weapon to deter fraud.


Written by Thomas Outram-Haskins, Insurance Team Manager, Judge & Priestley LLP


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