The general rule and starting point is that there are no costs awarded in favour of one party or another , win or lose.
There should be no impediment for a Claimant to reflect upon his or her case and withdraw the case without any costs threat for so doing.
In exceptional cases costs may be awarded if a party or their Representative are shown to have behaved abusively, frivolously, vexatiously or unreasonably in conducting any aspect of the proceedings or bringing or defending the proceedings.
This means that you should be careful about pursuing claims that are weak and have no reasonable prospect of success or defending a claim when the defence has no reasonable prospect of success. There is however a fine line between such a claim or defence and one where there is a triable issue for the Tribunal to determine when costs should not be awarded.
If in doubt you should consult one of our specialist Employment Law Solicitors for their advice.