Prince Harry Faces Multimillion-Pound Legal Bill

Britain's Prince Harry, singer Elton John and other claimants could be ordered to pay millions of pounds in legal costs after losing their lawsuit against Associated Newspapers, publisher of the Daily Mail. London's High Court heard arguments over costs on Wednesday.

Earlier this month, Judge Matthew Nicklin ruled against the lawsuit, in which Harry and six other high-profile Britons alleged the publisher had unlawfully obtained private information through practices such as phone hacking. The judge ruled they had failed to prove the information had been obtained illegally and that suspicion alone was insufficient.

Associated Newspapers' lawyer, Antony White, asked the court to award costs on an indemnity basis, meaning the claimants would have to pay without the usual assessment of whether the costs were reasonable. The court heard the publisher had spent £34.5 million on the case, while the claimants' insurance covers £16 million. Associated Newspapers is seeking an interim payment of £10 million.

The claimants' lawyer, Nicholas Bacon, described the bill as "staggering", arguing that it far exceeded the approved budget. The claimants have offered an interim payment of £8 million by August 28. A decision on a possible appeal will be made after the court rules on costs.

The hearing continues on Thursday.

(Reuters, bak)