Statements of truth are a common feature in a range of legal documents including statements of case, disclosure reports, witness statements and expert reports. Signing a statement of truth to confirm that the facts in the document are true should be a straightforward process. However, the consequences, of failing to tell the truth can be severe, as the High Court recently confirmed in Stobart Group Ltd and others v Elliott [2013] EWHC 797.

CPR 32.14 sets out the consequences of submitting a false statement of truth – notably that a party can make an application for proceedings for contempt of court against an individual who makes, or causes to be made, a false statement in a document that has been verified by a statement of truth without possessing an honest belief in its truth.

Criteria for an application
  • There is a strong prima facie case that the statement relied upon was false, known to be untrue or made recklessly and without regard to whether it was false, and that the false statement was known to likely interfere with the course of justice;
  • There is sufficient public interest to allow the committal proceedings; and
  • The proceedings are proportionate.

In Stobart, the High Court considered an application to bring contempt proceedings on the basis that the Stobart Defendants had made 22 false statements. The majority of the false statements appeared in witness statements, each of which contained a statement of truth. One of the witness statements related to a Court hearing of a without notice application for an interim injunction against Elliott. The Court granted permission for Elliott to bring contempt proceedings in respect of seven of the 22 false statements upon satisfaction of the above criteria.

In considering the public interest requirement, the Court noted that the argument for public interest would be higher where false statements had been made in witness statements relating to without notice applications or hearings. Further, with regard to proportionality, this will ultimately be determined by evaluating the complexity of establishing proof against the seriousness of the allegations being made.

Against whom can an application be made?
  • The person who signed the statement of truth.
  • A colleague of that person if they caused the false statement to be made.
  • A person who authorises their legal representative to sign.

This case serves as a timely reminder of the serious consequences awaiting those who knowingly or recklessly make false statements of truth.

Penalties for contempt
  • Fine
  • Sequestration of assets
  • Adverse costs
  • Custodial sentence

Before signing any document with a statement of truth, the signing party should ensure time is taken to review the material in detail, especially when making without notice applications where prejudice to the other party is even greater.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.