The allocation rules for issuing claims in England and Wales are guided by the value and complexity of the case. According to the Civil Procedure Rules: Claims for damages or for a specified sum of £100,000 or less must be initiated in the County Court. Claims exceeding £100,000 may be started in either the County Court or the High Court. They should only be initiated in the High Court if the case is complex, of high monetary value, or of public importance. For personal injury claims specifically: Claims expected to recover less than £50,000 must be commenced in the County Court. Claims for £50,000 or more may be commenced in either the County Court or the High Court, considering factors such as complexity and public importance. Given that the personal injury claim in question is valued at £120,000, it exceeds the threshold for mandatory County Court proceedings and can be filed in either the County Court or the High Court. The appropriate venue would depend on the specifics of the case, including its complexity and any broader implications. The magistrates' court does not handle personal injury claims of this nature, and the Chancery Division deals primarily with matters related to land, trusts, wills, and intellectual property, making options C and E incorrect. 

Key Point: Claims exceeding £100,000 can be initiated in either the County Court or the High Court. The decision depends on the case's complexity and the need for a High Court judge's expertise. This ensures that cases are heard in the most appropriate forum, balancing judicial resources and case requirements.