Deliberate lying counts as unreasonable conduct for cost purposes.

Mathews alleged a colleague had called her a “black bitch”. The tribunal found that the phrase had not been used. The discrimination claim was unsuccessful and the employer applied for costs on the basis that the claimant had acted unreasonably during the proceedings. The tribunal declined but this was reversed by the EAT (Employment Appeals Tribunal). It held that that where a central allegation is found to be a lie, tribunals should conclude the claimant was acting unreasonably in bringing a claim. It would therefore be wrong to refuse an application for costs.

Case Ref: UKEAT19/08/RN