OVERVIEW OFLEGAL SERVICES

REGULATION BILL 2011

Sorcha Hayes

Practice Regulation Manager

PART 1

Preliminary & General

PART 2

Legal Services Regulation Authority

PART 3

Holding of clients; monies by legal

practitioners

PART 4

Matters relating to protection of clients of

legal practitioners

PART 5

Information resolution of ILS & Excessive

Fees complaints

PART 6

Complaints and Disciplinary Hearings

PART 7

Levy on Professional Bodies for LSRA &

LPDT expenses

PART 8

Legal Partnerships, Direct Professional Access, & MDPs

PART 9

Obligations of practising barristers

PART 10

Legal Costs

PART 11

Legal Costs in Civil Proceedings

PART 12

Patents of Precedence

PART 13

Miscellaneous

SCHEDULE 1

Principles relating to legal costs

SCHEDULE 2

Redress for contravention of

section 148

SCHEDULE 3

Enactments repealed

LEGAL SERVICES

REGULATION AUTHORITY

MEMBERSHIP

• 11 members: 6 lay, 5 legal• Lay majority• Appointed by Government• Nominated by specified

nominating bodies• Required to meet specified

criteria• Lay Chairperson appointed

by Government• Staggered 4/3 year term• Maximum term 8 years if

reappointed• Part-time & remuneration

determined by MPER

NOMINATING BODIES

• 6 LAY MEMBERS• Citizens Information Board• HEA• Competition Authority• Human Rights Commission• Institute of Legal Costs

Accountants

• 5 LEGAL MEMBERS• 3 Solicitors (2 from Law

Society & 1 from Legal Aid Board)

• 2 Barristers (1 from Kings Inns, 1 from Bar Council)

SELECTION CRITERIA

• Knowledge of, and expertise in, one or more of the following

• Provision of legal services• Legal education & training• Competition lay & policy• Maintenance of standards

in professions regulated by a statutory body

• Dealing with complaints against members of regulated professions

• Business & commercial matters

• Needs of consumers of legal services

DISQUALIFICATION

CRITERIA

• Convicted of indictable offence• Convicted of offence involving fraud or

dishonesty• Struck off legal practitioner• Section 150 declaration of Companies Act

1990• Subject of disqualification order under Part

VII of Companies Act 1990• Not resident of State• Lay member no longer a lay member

REMOVAL

• Can be removed by Government subject to specified criteria, subject to appeal process & a resolution being passed by both Houses of Oireachtas

• Criteria include disqualification criteria, incapacity through ill health, stated misbehaviour, or unfit to hold office or discharge functions

• Member and nominating body notified in writing & may make submissions

• Decision notified in writing with decisions• Appeal to High Court within 30 working

days

FUNCTIONS OF

AUTHORITY

Regulate the provision of legal services by legal

practitioners

Ensure maintenance & improvement of standards in the provision of legal

services in the State

Review & Recommend:

Admission requirements of Law Society and Bar

Council

Review & Recommend:

Availability & quality of education & training

(including CPD) for legal practitioners

Review & Recommend:

Policies of Society & Bar regarding admission of

legal practitioners

Review & Recommend:

Professional Codes

Review & Recommend:

Organisation of the provision of legal services

in the State

Disseminate information re education &

accreditation requirements

Professional Indemnity Insurance:

Specify nature & minimum levels

Client Moneys:

Establish & administer system to supervise &

inspect legal practitioners holding client monies

Deal with complaints against legal practitioners

Promote public awareness & disseminate

information to public in respect of legal services, including costs of legal

services

Keep Minister informed of developments in

respect of provision of legal services & make

recommendations to assist co-ordination &

development of policy

Undertake, commission or assist in research projects

re provision of legal services and make

recommendations to Minister therefrom

Perform any other functions conferred on it

by the Act or by regulations made under it & establish committees to

carry out functions

OBJECTIVES OF

AUTHORITY

Subject to the Act, the Authority shall be independent in the performance of its

functions

Protection & promotion of the

public interest

Support proper & effective

administration of justice

Protect & promote interests of consumers relating to provision of

legal services

Promotion of competition in

provision of legal services in the State

Encourage an independent, strong &

effective legal profession

Promote & maintain adherence to specified professional principles

Specified Professional Principles of

Legal Practitioners

Act with integrity &

independence

Act in best interests of

clients

Maintain proper

standards of work

Comply with duties before

Courts

Keep client affairs

confidential

INSPECTIONSInspectors appointed by

Authority to investigate legal practitioners

Inspect where admissible complaint exists, ensuring

compliance with Act or performing function of

Authority under Act

Inspector has warrant of appointment, & may attend with or

without appointment

Inspector must be given access to all records, documents & written authority re bank accounts

Authority can apply to High Court for order compelling compliance

Offence to fail to comply, destroy or hide documents or records, or provision of

false or misleading information

Guilty of offence = class B fine (summary conviction) or fine not exceeding €30,000 (conviction on indictment)

CLIENTS’ MONEYS

Only solicitors may hold client monies & Society

retains powers of inspection

Minister may prescribe by regulations a class of solicitors who may not hold client moneys, or only hold such monies subject to conditions

Authority makes interest on client moneys

regulations

PROFESSIONAL INDEMNITY INSURANCE

Authority sets minimum level of cover and oversees PII for

solicitors. Society makes & enforces

regulations

Authority makes & enforces PII regulations

for barristers

LIMITATION OF LIABILITY BY

CONTRACT

Civil liability incurred by legal practitioner through provision of

legal services to client can be limited to an amount specified in

contract

Limitation of liability can not be less than

minimum level of PII cover

INFORMAL RESOLUTION OF

INADEQUATE LEGAL SERVICES & EXCESSIVE

FEES COMPLAINTS

ADMISSIBILITY OF COMPLAINTS

• Cannot be frivolous or vexatious in nature, or without substance or foundation• Cannot have been a previously determined matter• Cannot be subject of civil or criminal proceedings that were determined in favour of legal

practitioner, or are still ongoing• Complaint can be made where client of legal practitioner considers that legal services were of

inadequate standard or bill of costs was excessive• Admissibility determined by preliminary review of complaints by Authority and submissions from

legal practitioner involved

INADEQUATE LEGAL SERVICES COMPLAINTS

• Where ILS complaint is admitted, Authority will facilitate resolution of complaint in informal manner, including referral to mediation or other form of dispute resolution

• ILS Review Committee of Authority will consider any appeals of ILS complaint determinations

EXCESSIVE FEES COMPLAINTS

• Bill of costs must be excessive in a material respect• Authority may invite complainant & legal practitioner to make efforts to resolve matter in an

informal manner, including referral to mediation or other form of dispute resolution• Where the dispute is resolved the client cannot thereafter be entitled to seek adjudication of bill

of costs under Part 10 of Act• If the Authority feels that the dispute cannot be informally resolved, it can conclude the dispute

resolution process

MISCONDUCT COMPLAINTS

&LEGAL PRACTITIONERS

DISCIPLINARY TRIBUNAL

MISCONDUCT Act or omission involving fraud or dishonesty

Legal practitioner has fallen short, to a substantial degree,

of professional standards expected

Act or omission, not occurring in connection with practice of

law, which would justify a finding that the legal

practitioner is not a fit and proper person to engage in

legal practice

Any acts or omissions consisting of an offence under

the Act

In case of solicitor, act or omission consisting of an

offence under the Solicitors Acts

Act or omission by barrister that would bring barristers’

profession into disrepute, or by solicitor that would bring solicitors’ profession into

disrepute

Act or omission by solicitor that constitutes a breach of

Solicitors’ Accounts Regulations

Act or omission by Managing Legal Practitioner of an MDP

that consist of a failure to comply with their obligations

under the Act

Act or omission consisting of the commission of an

arrestable offence

Act or omission consisting of the commission of crime or

offence outside the State which, if committed within the

State would be an arrestable offence

Act of issuing a bill of costs which is grossly excessive

Legal practitioner who has accepted instructions to appear in court on behalf of a client in custody who withdraws from the case without obtaining permission

of the court before which the client is next scheduled to appear

Misconduct complaints dealt

with by Authority

Regulations regarding misconduct complaints made by Authority

Authority may charge a fee to make a complaint & decide

circumstances under which the fee would be refunded

Admissibility of misconduct complaints same as other complaints

Where the misconduct complaint does not involve fraud or dishonesty, an

opportunity to resolve may be afforded. Sanctions can still be imposed

No answer or statement made by complainant or legal practitioner in course of mediation can be used in

disciplinary, civil or criminal proceedings

Where the complaint involves fraud or dishonesty, Authority may carry out

investigation or request Society carry out investigation

COMPLAINTS

COMMITTEE

Complaints Committee will consider & investigate

complaints referred to it by the Authority

Will have maximum of 27 members, with lay majority, 8 solicitors nominated by Law

Society, 4 barristers nominated by Bar Council

The Complaints Committee will act in divisions of 3 or 5

members with a lay majority and a lay Chairperson

The Authority prepares a summary of complaint for Divisional Committee and legal practitioner response

If not satisfied with the response, the Divisional Committee will direct an

investigation to take place

The Divisional Committee may require the legal practitioner and complainant to appear before

them. Entitled to legal

representation but must pay for themselves

If decision that not misconduct, both complainant and legal practitioner

informed in writing

Where misconduct found that does not warrant a referral to LPDT, DC may

direct legal practitioner to

carry out specified measures, or other specified measures

on consent

Where serious misconduct found,

matter will be referred to LPDT

for inquiry

SPECIFIED MEASURES FOR MISCONDUCT FINDING NOT

REFERRED

Direction to legal practitioner to perform or complete legal

services the subject of complaint, or to pay for

completing of such services by a legal practitioner

nominated by complainant

Direct LP to participate in one or more modules of professional competence

scheme and furnish evidence thereof to Authority within

specified time

Direction to LP to waive all or part of any fees otherwise payable by the complainant

to the LP

Direction to LP to refund to the client some or all of any

fees paid to the LP in respect of the complained legal

services

Direction that the LP take such other action in the interest of the client as

specified by the Committee

Direction to LP to comply with an undertaking give by

the LP

Direction to LP to withdraw or amend an advertisement

Direction to LP to pay a sum not exceeding €5K as

compensation to the client, without prejudice to any legal

right of the client

Direction to LP to pay Authority a sum not

exceeding €5K by way of contribution towards the

costs incurred by the Authority in investigating the

complaint

Direction to LP to pay additional sum not exceeding

€2.5K for additional investigating costs where LP

has failed to cooperate

Issue of a caution, admonishment or reprimand

to LP

Issue of a notice to the Society (for solicitor) or CEO of Authority (for barrister)

directing that specific conditions be placed on the

LP

Legal Practitioners Disciplinary

Tribunal Function: to consider applications brought before it by the Authority as to whether a specified act or omission by a LP constitutes misconduct

Members nominated by Minister and appointed by President of

High Court

Maximum 16 members

Lay majority

Min 3 solicitors nominated by Society

Min 3 barristers nominated by Bar

Chairperson of LPDT may be legal or lay and appointed by President of High

Court

Sits in divisions of 3 or 5 members

Lay Chair for each division

Majority lay membership

LPDT will have same powers, rights and privileges vested in the High Court

in respect of witnesses, examination under oath, documents and discovery

Inquiries conducted by oral hearing and in public &

decisions may be appealed to High Court

LPDT

MISCONDUCT

SANCTIONS

Issue a reprimand Issue a warning Issue a caution

Direct LP to participate in one or more modules of

professional competence scheme and furnish evidence

thereof to LPDT

Direct LP to waive all or part of any costs payable by

complainant

Direct LP to refund all or any part of costs paid to LP

Direct LP to arrange for the completion of legal services at LP’s own expense as directed

by LPDT

Direct LP take, at their own expense, such other action in

the interests of the complainant as the LPDT specifies

Direct LP to transfer any documents relating to

complaint to another LP nominated by the client or

Authority (with client’s consent)

Direct LP to pay a sum not exceeding €15K as restitution to any aggrieved party without prejudice to legal right of said

party

Direct whole or part of costs of LPDT or any person making submissions to or appearing before LPDT be paid by LP

(which costs shall be assessed by the Legal Costs Adjudicator

in default of agreement)

Recommend to High Court that LP be censured & pay an amount of money to the

Authority or complainant as Court considers appropriate

Recommend to LP be restricted in the type of work they may

engage in for such period, and under such terms and

conditions, as considered appropriate by Court

Recommend LP be prohibited from practising as a LP

otherwise that as an employee & subject to specified T&C

Recommend LP be suspended from practice for specified

period or struck off

LEVY

Authority & LPDT funded by legal professions, not State

10% expenses apportioned pro rata between Bar

Council & barrister not members of Law Library

based on Roll of Practising Barristers

10% apportioned to Law Society based on Roll of Solicitors [to be altered to Register of Practising

Solicitors]

80% apportioned pro rata among the Society, Bar and barrister non-members of

Law Library based on number of complaints

Exception for LPs in the full time service

of the State

LEGAL PARTNERSHIPS

DIRECT PROFESSIONAL ACCESS

MULTI-DISCIPLINARY PRACTICES

LEGAL PARTNERSHIP“Legal Partnership” means a partnership formed under the law

of the State by written agreement, by two or more legal practitioners, at least one of whom is a barrister, for the

purpose of providing legal services

MULTI-DISCIPLINARY PRACTICEAn MDP means a partnership formed under the law of the

State by written agreement, by two or more persons, at lease one of whom is a legal practitioner, for the purpose of providing

legal services and services other than legal services

MDPRegulated by Authority and

Authority may apply to High Court for order suspending

or ceasing provision of services by MDP

Each partner is jointly & severally liable in respect of their acts or omissions, those of other partners and those

of employees of the partnership

Legal and non-legal partners can share fees and other

income

A person may be a partner in an MDP even if they do not provide any services in the

MDP

Prohibited:

LP restricted to providing legal services as employee,

suspended LP, struck off LP

Managing Legal Partner (“MLP”) – LP responsible

for management and supervision of provision of legal services by the MDP. Can be partner or employee

Provision of legal services by MDPs must be in

accordance with the Acts, regulations & professional

principles

Separate accounting records and bank accounts to be kept for legal services and non-

legal services

LPs in MDP cannot disclose affairs of legal client to

anyone in MDP not providing legal services to that client, without client’s

consent

LP cannot provide legal services without letter of

engagement specifying legal and non-legal services to be

provided

MDPs must have PII at a level set by Authority

Law Society Compensation Fund claims only valid for

loss sustained through dishonesty on part of

practising solicitor in MDP

Public Consultation by Authority

Should prohibition on any LP’s other than

solicitors holding client monies be retained?

Should the restrictions on

barristers receiving instructions in a

contentious matter directly from non-

solicitors be retained or removed?

Under what circumstances and in what manner should barristers

be permitted to hold client monies?

Members of public shall, & professional bodies may, be asked to make

submissions

Report with recommendations to be sent to Minister & laid before Houses of

Oireachtas

LEGAL COSTS

LEGAL COSTS“Legal costs” means fees, charges, disbursements or other cost incurred or charged in relation to contentious or non-contentious business and includes:

(a) The costs of or arising out of any cause or matter in any court

(b) Any costs which are the subject of an order made by an arbitral tribunal in accordance with section 21(4) of the Arbitration Act 2010 for the adjudication of costs by a Legal Costs Adjudicator

(c) The costs of a receiver appointed in any cause or matter, on the application of the receiver or of any party to the cause or matter

(d) Costs that arise from an inquiry, investigation, or other proceeding conducted under an enactment, and

(e) The cost of registering judgments as mortgages, of obtaining grants of probate and of letters of administration, of satisfying judgments , and any other costs usually adjudicated ex parte.

LEGAL COSTS ACCOUNTANT“Legal costs accountant” means a person who has regularly participated in the preparation and presentation of bills of costs for taxation or, as the case may be, adjudication of legal costs and has regularly attended before a Taxing-Master on the taxation or, as the case may be, a Legal Costs Adjudicator on an adjudication, of such bills of costs

Office of the Legal Costs Adjudicator

Formerly known as the Taxing-Masters’ Office

Chief Legal Costs Adjudicator appointed by Minister

The Minister may appoint the number of LCAs as thought

necessary to ensure work carried out effectively and

efficiently

CLCA or LCA must be for minimum of 10 years:

1. Practising solicitor

2. Practising barrister

3. Practising legal costs accountant

CLCA:

Maximum 7 year term of office & then become LCA

Retirement age of 70 years

LCA:

Maximum 5 year term of office

Retirement age of 70 years

Not eligible for re-appointment or extension of term

CLCA or LCA may be removed by Government due to incapacity due to

ill health, commission of stated misbehaviour, failure to perform

functions of office without reasonable cause, contravention of Ethics in Public Office Acts 1995 and 2001

Cease to hold office if convicted of offence, declaration under s150 of Companies Act, or disqualification

order under Act, sentenced to term of imprisonment, removed from

professional register

All functions, powers or jurisdictions of Taxing Master conferred to CLCA and LCAs

Role & functions of CLCA and LCAs limited to jurisdiction of Taxing Masters’ office, and do not extend to lower courts or

jurisdiction of County Registrars

Required to establish and maintain Register of

Determinations in relation to applications for adjudication of

legal costs

Register of Determinations

Date of receipt of application Names of parties to adjudication

Date of receipt of bill of costs and each other document including title & record number of proceedings in

contentious cases

Date on which adjudication is assigned and, if any, the LCA to

whom the adjudication is assigned

Outcome of determination, date on which it was made, & date notice

furnished and reasons for determination (with specified

exceptions)

With regard to appeals of determinations, date on which LCA

makes decision, date on which notice is furnished, & outcome of

new determination if made

With regard to appeal to High Court, the date on which the High Court

determines that review, the outcome of the review &, if the matter is remitted by the High Court, the

determination of the LCA to whom the matter was remitted

RoD must be available for inspection during office hours

without payment by any person who applies to inspect it

Determination reasons

exceptions

Proceedings held in, or that

would have been held in,

private

Adjudication of legal costs

between client and LP

Where proceedings settle out of

Court

Where contrary to public interest to

publish

Where adjudication

does not involve a

matter of legal importance

All may be published in

anonymised or redacted fashion

County Registrars

CR must have regard to the principles relating the legal

costs in Schedule 1 of Act on taxation of costs

Each CR must establish and maintain a Register of

Taxation Determinations in relation to applications for

taxation of costs

Register to include date of application, names of parties,

date determination made, outline of disputed issues,

monetary outcome of taxation, reasons for outcome as

determined by CR

Register must be available for inspection during office hours

without payment by any person who applies to inspect it

Each CR must report annually to the CLCA providing a

summary of the information contained in the register

Principles relating to legal costs

To be used by LCA and County Registrars

Have the costs been reasonably incurred?

Are the costs reasonable in amount?

Complexity of legal work concerned

Difficulty & novelty of issues involved in legal work

Skills or specialised knowledge relevant to the matter which the LP has

applied

Time & labour that LP reasonably expended

Importance of matter to client

Urgency of matter to client & whether the urgency

required LP to give priority over other matters

Place & circumstance in which the matter was

transacted

Number, importance & complexity of documents

that LP was required to draft, prepare or examine

The amount of money, value of property or interest in the

property

Whether or not there was an agreement to limit the

liability of the LP

Whether or not the LP necessarily undertook

research or investigative work and, if so, the timescale within which such work was

required to be completed

Use & costs of expert witnesses or other expertise

engaged by the LP & whether such costs were necessary & reasonable

If legal costs are a percentage or

proportion of any damages or other

monies awarded or payable to client in

connection with contentious business

A LP cannot, without prior written

agreement of client, deduct or appropriate any amount in respect

of legal costs from damages or other monies payable to

client

Prohibition on LP

charging legal costs

If legal costs charged to Junior Counsel are

a percentage or proportion of legal costs paid to Senior

Counsel

Notices of conduct of matter, costs etc by legal practitioner to

client

LPs must provide their client with notices in clear understandable

language

Notice on receiving instructions shall disclose legal costs that will be incurred

If not reasonably possible to disclose legal costs at time of receiving

instructions, notice to disclose basis on which legal costs are to be charged.

Follow-on notice disclosing legal costs must be provided as soon as practicable

Notice must include specified information and LP must provide client with clarification on notice as soon as

requested to do so by client

A new notice must be issued where LP becomes aware of any factor that would

make legal costs likely to be incurred significantly greater than those

disclosed or indicated in previous notices

A LP shall not engage a barrister, expert witness or provide of any services on a matter where notices have previously been provided without first, to extent

practicable, ascertaining the likely cost of the service, notifying the client and

obtaining approval of the client to engage the person

After issuing notice on receiving instructions, the LP must not provide legal services in relation to the matter concerned for a period specified in the

notice (not longer than 10 working days)

Exceptions to the delay period can be made if instructed to do so by client, where such delay would constitute a

contravention of a statutory requirement or rules of court or prejudice rights of client, where

directed to do so by a court, or notice of trial or date fixed for hearing in

litigation matters during delay period

Specified information

in notices

Amount of legal costs certificate by LP as incurred on

date of notice

Amount of legal costs certified by LP to be of a fixed nature or

certain to be incurred (if impracticable, basis on which

charged)

Amount of legal costs certificate by LP as likely to be incurred, insofar as practicable

Amount of VAT to be charged

Set out basis on which amounts were or are to be calculated,

were reasonably incurred and are reasonable in amount

Statement of LP’s obligation to notify client if any significant

increase in costs likely

Outline of work done at each stage of litigation & costs,

likely costs or basis of costs involved in each stage, including likelihood of

engaging expert services

Statement of LP’s obligation to provide notice re expert

services

Information as to likely legal & financial consequences of client’s withdrawal from

litigation and its discontinuance

Information on circumstances in which client is likely to be required to pay costs of other

parties in litigation, & circumstances in which costs of LP may not be fully recovered

from other parties

Specify period (no longer than 10 working days) before legal

work will commence

Agreement regarding legal costs

LP & client may make written arrangement concerning

amount & manner of payment of all or part of legal costs

payable by client to LP

Agreement must contain same specified information as in

notices

If this is done, LP not required to provide notice on receiving instructions and references to

notices in Act shall be taken to include references to

agreement

The agreement will constitute the entire agreement between the LP & client on the matter, & no other amount shall be chargeable, except to the

extent indicated in the agreement

The agreement shall be amenable to adjudication by

the CLCA or LCA

Bill of costs

LP to prepare, signed and provide a bill of costs as soon as practicable after concluding the provision of legal services

to client

Bill of costs must contain particulars specified in Act and be in the such form as specified

by rules of court

LP must provide client with an explanation of the dispute

procedure with the bill of costs, including specified information

The Act should not be construed as limiting a right that any other person has to

require a LP to submit a bill of costs for adjudication

Where agreement on legal costs has been entered into, this

should be included in or with the bill of costs

If the agreement concerns all of legal costs payable by client, an

invoice prepared by LP containing a summary of costs

& outlays pursuant to agreement, together with copy

of agreement, constitutes a BoC

Where solicitor instructs barrister and barrister concludes

providing legal advice, the barrister must provide bill of costs to solicitor, who will

provide the bill to the client

Specified particulars for

Bill of Costs

Summary of legal services provided to client in

relation to matter

Itemised statement of amounts in respect of legal

costs for legal services

Registration number of LP for purposes of VAT, &

amount of VAT chargeable in respect of legal costs

Time spent dealing with matter, where time is a

factor in the calculation of legal costs

Amount of any damages of other monies recovered by, or payable to, the client and that arose from the matter

(where known to LP)

Amount of legal costs recovered by, or payable to

LP on behalf of client, including costs recovered from other party or insurer on behalf of another party

Dispute procedures information

That client may discuss matter with LP

That client is obliged to notify the LP the existence of a

dispute on any aspect of the Bill of Costs

This notification must be in writing, within 14 days of the date of receipt of the bill by

the client, and set out the nature of the dispute

Failure by client to pay a bill of costs to a LP in a timely

manner shall not be construed as a formal communication of

the existence of a dispute

That the LP is obliged to take all reasonable and appropriate steps to resolve the dispute by

informal means including mediation, with the consent of

the client

That the client may have the dispute referred to mediation,

including a reference to procedures available for such

mediation

That where, in the opinion of the client or LP, mediation has

failed, the other party is notified of this in writing

That the client may apply for adjudication of legal costs,

including contact information for Office & potential costs to

client seeking adjudication

Date on which LP may make an application for an

adjudication in the event that the Bill of Costs, or any part

thereof, remains unpaid

Application for adjudication of

legal costs

The person subject to an order to pay a bill of costs may, having

attempted to agree costs with the other party, apply to the CLCA

for adjudication on any matter or item in the bill of costs

The person in whose favour the order to pay bill of costs has been made may, following attempt to resolve any dispute with subject

of order, apply to CLCA for adjudication

A client may apply for adjudication for bill of costs from

LP where they consider any matter or item or amount charged

is not properly chargeable

Application by client is subject to a 6 month time limitation after date on which bill of costs was provided to client, or 3 months from the date of payment of bill

of costs, if the bill of costs is proper

LP may apply for adjudication where bill of costs has been provided to client & remains

unpaid within 30 days, provided the application is made within 12

months of bill of costs being provided to client

Barrister may apply for adjudication where bill of costs

provided to solicitor remains unpaid within 30 days, provided

application is made within 12 months of bill of costs being

provided to solicitor

LP may apply ex parte to High Court or LCA for abridgement of

30 day period

Where LP applies, they must indicate whether they are aware of any dispute regarding the bill of costs and, if yes, the matter to

which the dispute relates

Where bill of costs is provided by an LP to client, the LP has

agreed to accept a lesser amount in discharge of the bill and the

lesser amount is paid, neither the LP nor the client can apply for

adjudication

Matters to be ascertained in

course of adjudication

Principles of legal costs in Schedule I shall apply

The LCA shall, to extent considered necessary,

consider & have regard to the entire case and

context of costs arising

LCA shall verify work was actually done

LCA shall determine whether a charge for the work or disbursement was appropriate in the

circumstances

LCA shall determine the fair & reasonable charge

for that work or disbursement in those

circumstances

LCA shall determine whether or not costs

were reasonably incurred

LCA shall ascertain the nature, extent and value

of work

LCA shall ascertain who carried out the work and the time taken to carry

out the work

LCA shall have regard to an agreement on legal costs (if any) between

LP and client

Powers of LCA

LCA may inspect documents relating or relevant to matter

Where there is an oral hearing, LCA may summon

& examine witnesses, administer oaths, & apply to High Court for enforcement

of summons

High Court may make such order of costs it thinks fit in

relation to application by LCA for enforcement of

summons

LCA may invite parties to refer dispute to mediation or

other informal resolution process where appropriate

Where parties agree to mediation, LCA shall

adjourn determination of application & may give directions to facilitate resolution of dispute

Oral adjudication hearings are to be held in public

unless, in the opinion of the LCA, in the interests of

justice it should be held in private

LCA, with consent of parties, may conduct

adjudication without oral hearing in the interests of

expedience and in the interests of justice

Determination of adjudication

applications

LCA, following due consideration, shall make the

determination

The LCA will furnish the parties with the determination as soon as

practicable

The LCA will confirm the charge in respect of an item of legal costs

subject of the application if charging, and the amount, are

considered to be fair & reasonable in the circumstances

If charging is fair & reasonable, but amount is not, LCA may

determine a different amount to be charged

The LCA will not confirm an amount for disbursement unless

there is a valid voucher or receipt for it, or the parties have agreed & LCA is satisfied that no voucher

or receipt is required

LCA will not confirm a charge in respect of a matter or item not

included in the required notices or agreement, unless LCA is of

opinion that this would create an injustice

If one party has neglected or refused to provide documentation, & this is prejudicial to interests of other party, LCA will determine that only a nominal amount is to be payable to the party failing to

cooperate

LCA determination report to be prepared where it is considered to

be in the public interest or on request by any part to the

adjudication within 14 days

LCA Determination

Report

Set out matters or items subject of

adjudication

Brief outline of background to

provision of legal services concerned

Brief outline of principle issues

relating to the contest of provision of those

legal services

Specify work involved in provision of legal services which was

considered

Specify various stages of legal services & stage at which such

work was carried out

Set out summary of written or oral

submissions made

Give reasons for determination

Provide copy of report to any requesting party as soon as practicable

Reference to High Court &

appeals

LCA can refer a question of law to High Court for opinion

LCA can refer question on enforceability of agreement to

High Court for order to enforce or to nullify agreement if

unenforceable

LCA must not make any determination when matter is before High Court, or make a

determination inconsistent with High court opinion on the

matter

Any party may appeal the determination to the LCA

within 14 days on notice to other party.

LCA can decide not to vary determination or make a new

determination

Any party may appeal the decision of the LCA appeal to the High Court within 21 days

on notice to all parties and CLCA

Court can confirm determination. Where court is

satisfied that LCA erred in determination & it is unjust, the court can remit the matter to the LCA for review or substitute its

own determination

Proceedings & documentation as part of adjudication, mediation or appeal, are

absolutely privileged

Legal costs in civil

proceedings

On application by a party to civil proceedings, a court may order that a

party pay the costs of or incidental to the

proceedings to another party

Court may order that costs of or incidental to

proceedings be paid out of the property of estate or

trust if appropriate

Court may order that a party pay a portion of another party’s costs

Court may order that a party pay costs from or until a specified date,

including a date before proceedings were

commenced

Court may order party to pay costs relating to one or more particular steps in the

proceedings

Court may order party to pay costs relating to the successful element of

proceedings, in the event where a party is partially

successful

Court may order party to pay interest on costs from or until a specified date,

including a date before the judgment

These powers do not restrict any right of action for the tort of maintenance

These powers do not restrict any right of a trustee, mortgagee or other person to be paid costs out of a

particular estate or fund to which they would be entitled under any rule of law or equity

Costs to follow event

A party who is entirely successful in civil proceedings is entitled to an award of costs against a party

who is not successful, unless court orders otherwise in specified

circumstances

Where the court makes such an order, it must give reasons for the

order

Where party is successful only against some parties, the court may order that the successful

party pay the costs of the party against whom they have not

succeeded

Where party is successful only against some parties, the court

may order that the parties against whom the case has succeeded pay the costs of the successful party,

and the costs of the parties against whom they have not succeeded

A party who discontinues or abandons proceedings after they

are commenced, including appeals, is liable to pay the

reasonable costs of every other party, unless otherwise agreed

with the or the other parties

Specified circumstances not to

award costs to successful party in civil

proceedings

Court must have regard to the particular nature &

circumstances of case

Regard to conduct of proceeding by the parties

Conduct of parties before and during proceedings

Whether it was reasonable for part to raise, pursue or contest

issues in proceedings

Manner in which parties conducted all or any part of

their cases

Whether a successful party exaggerated his or her claim

Whether a party made an offer to settle the matter and, if so,

the date, terms and circumstances of that offer

Where the parties were invited by the court to settle the claim

& the court considered that some of the parties were

unreasonable in refusing to engage in settlement or medication discussions