COST BITES 331: SOLICITOR FAILS TO SHOW THEY WERE OWED £573,529 IN COSTS: NEITHER A LIEN OR THE LEGAL AID CHARGE NECESSARILY GIVES RISE TO A DEBT FROM THE CLIENT
This is an unusual case where a third party challenged a solicitor’s right to be a creditor in an insolvency arrangement. The third party argued that the sums claimed by the solicitors were not in fact recoverable from the respondent. …
COST BITES 255: SOME IMPORTANT LESSONS HERE: LEGAL OMBUDSMAN HOLDS THAT A FIRM ACTING ON A DBA CANNOT BE PAID TWICE FOR THE SAME WORK: FULL REFUND ORDERED (WITH INTEREST)
The courts have, on occasion, indicated that the legal ombudsman may be a more cost effective way of resolving solicitor and own client costs disputes than expensive litigation. We are looking at such a case here, an ombudsman decision in…
COST BITES 209: A CLIENT’S CHALLENGE TO THE DEDUCTION OF THEIR OWN SOLICITOR’S COSTS WAS THIS A CFA OR A DBA: WAS THE SOLICITOR OBLIGED TO OFFER A DBA?
We are continuing with the examination of the judgment of Cost Judge Rowley Perrett v Wolferstans LLP [2025] EWHC 68 (SCCO). Here the judge considered (and rejected) that claimant’s [former client’s] argument that the CFA entered into with the solicitor was…
COST BITES 187: SUPREME COURT OVERTURNS COURT OF APPEAL DECISION IN MENZIES -v- OAKWOOD: THE BILL CAN GO FORWARD FOR ASSESSMENT
In the judgment today in Oakwood Solicitors Ltd (Respondent) v Menzies (Appellant) [2024] UKSC 34 the Supreme Court overturned the Court of Appeal decision. The upshot of this is that there will now be an assessment of the solicitor/own client…
COST BITES 175: SOLICITOR’S BILLS WERE NOT INTERIM STATUTE BILLS AND COULD BE ASSESSED: COURT OF APPEAL DECISION TODAY
In the judgment today in Signature Litigation LLP v Ivanishvili [2024] EWCA Civ 901 the Court of Appeal upheld an earlier decision of Costs Judge Leonard that a series of bills rendered by the appellant solicitors were not interim statute…
COST BITES 160: SOLICITOR AND OWN CLIENT ASSESSMENTS AND THE IMPORTANCE OF “ESTIMATES” OF COSTS
We are looking for the third time at the judgment in St. James v Wilkin Chapman LLP [2024] EWHC 1716 (KB). One of the issues that the (former) client raised was the absence of any accurate estimate in relation to costs…
PART 36 DOES NOT APPLY TO SOLICITORS ACT ASSESSMENTS: HIGH COURT DECISION (YESTERDAY)
In Zuhri v Vardags Ltd [2023] EWHC 3050 (SCCO) Costs Judge Leonard held that the provisions of CPR Part 36 do not apply to a Solicitors Act assessment of costs. However it may be relevant to Part 7 proceedings issued,…
COST BITES 112: SOLICITORS BILL ASSESSED AT “NIL”: THE OMBUDSMAN’S INFORMAL RESOLUTION IS BINDING ON A SOLICITOR: PERMISSION WAS NEEDED TO REVISE THE BILL AND WOULD NEVER BE GIVEN
In Olukoya v Riverbrooke Solicitors Ltd [2023] EWHC 2771 (SCCO) Costs Judge Leonard assessed a solicitor’s bill as nil. The judge found that there was a binding contractual agreement as to the sums payable by the client following an informal…
COST BITES 77: JUDGE REJECTS ARGUMENT THAT TERMS OF DISCOUNTED CONDITIONAL FEE AGREEMENTS MEANT THE SOLICITORS WERE NOT ENTITLED TO ANY COSTS OF ALL: COMPULSORY READING HERE – AND MUCH TO THINK ABOUT
The judgment of Judge Brown, sitting as a Master of the Kings Bench, in Ascension Asset Management Ltd & Anor v Sky Solicitors Ltd [2023] EWHC 875 (KB) should be mandatory reading for any litigator who enters into a retainer…
HOURLY RATES AGREED WITH LITIGATION FRIEND ARE SUBJECT TO REVIEW: THE APPROPRIATE PROCEDURE WHEN A SHORTFALL IN RECOVERABLE COSTS IS SOUGHT FROM A CLAIMANT
In EVX v Smith [2022] EWHC 1607 (SCCO) Costs Judge Brown held that the hourly rates charged by a solicitor to their own client are subject to review when the court is considering the amount that the claimant should pay…
ASSESSMENTS UNDER THE SOLICITORS ACT: INTERIM BILLS, VALID BILLS AND “SPECIAL CIRCUMSTANCES”: A DECISION ON APPEAL
The decision of HHJ Gosnell (sitting as a High Court Judge) in Richard Slade And Company Plc v Erlam [2022] EWHC 325 (QB) relates to the assessment of solicitor and own client bills. However the appeal also gave rise to…
THE APPROVAL OF SOLICITOR AND OWN CLIENT COSTS OF A PROTECTED PARTY AFTER SETTLEMENT: CLIENT NOT LIABLE TO PAY ANY FURTHER PROFIT COSTS; SUCCESS FEE REDUCED TO 15%
In BCX v DTA [2021] EWHC B27 (Costs) Costs Judge Brown reduced, substantially, the sums payable to solicitors from their own client. The judge was considering own client costs after the defendant had paid the bulk of the costs. It…
ANOTHER ROUND IN A LONG-RUNNING SOLICITOR-CLIENT COSTS DISPUTE: JUDGE REFUSES APPLICATION FOR A STAY AND FOR SECURITY FOR COSTS.
In Edwards & Ors v Slater & Gordon UK Ltd [2021] EWHC B19 (Costs) Costs Judge Rowley considered several procedural issues in relation to ongoing solicitor and own-client assessments. THE CASE Some 134 cases are being brought by Clear Legal…
COURT SETS ASIDE CONTENTIOUS BUSINESS AGREEMENT: CONTENTS WERE UNFAIR AND UNREASONABLE
In Tripipatkul v WH Lawrence Ltd (t/a WH Lawrence Solicitors) [2021] EWHC B13 (Costs) Costs Judge Brown set aside a contentious business agreement between a solicitor and their former client. “The decision in ex parte Cathcart requires the court to…
DEDUCTION OF LEGAL FEES FROM THE CLIENT’S DAMAGES: SOLICITORS SUCCESSFUL ON APPEAL
The decision of Mr Justice Lavender in SGI Legal LLP v Karatysz [2021] EWHC 1608 (QB) is part of the long, and continuing, battle relating to the deduction of legal fees by solicitors from claimant’s damages. In this case the…
A CAP OF 25% ON COSTS TO BE DEDUCTED FROM DAMAGES GIVES RISE TO PRESUMPTION OF INFORMED CONSENT FROM CLIENT
The Law Society Gazette carries a report of the decision of Regional Costs Judge Rouine in Swann -v- Slater & Gordon. The judge decided that the existence of a cap on costs liability of 25% indicated that a claimant/client had…
SOLICITORS NOT ENTITLED TO INDEMNITY COSTS BY RELYING ON CONTRACTUAL TERMS: A FORMER CLIENT’S SUCCESSFUL APPEAL
I am grateful to barrister Ted Loveday for sending me a copy of the judgment of Mr Recorder Cohen QC in Carmen Chevalier-Firescu -v- Ashford LLP (29th January 2021, Central London County Court, a copy of which is availableChevalier-Firescu -…
SOLICITOR DID NOT HAVE GOOD GROUNDS TO TERMINATE THE RETAINER UNDER A CFA: CLAIM FOR £16,200 IN COSTS FAILS
I am returning to the judgment of Master Haworth in Murray & Anor v Richard Slade and Company Ltd [2021] EWHC B3 (Costs). This time looking at the decision in relation to termination of a conditional fee agreement. The Master held…
AN OBJECT LESSON OF THE NEED TO CONFIRM VARIATIONS TO A RETAINER: COUNSEL’S FEES NOT RECOVERABLE: THE SOLICITOR WAS THE AUTHOR OF HIS OWN MISFORTUNE
The judgment of Master Haworth in Murray & Anor v Richard Slade and Company Ltd [2021] EWHC B3 (Costs) could be seen as an object lesson to solicitors about confirming the terms of a retainer. The Master did not allow…
LEXLAW -v- ZUBERI: PERMISSION TO APPEAL GRANTED
I wrote in July about the decision in Lexlaw Ltd v Zuberi [2020] EWHC 1855 (Ch) (10 July 2020) in relation to the validity of a damages based agreement. Practitioners may like to know that permission to appeal has been granted by…
VALIDITY OF A DAMAGES BASED AGREEMENT BETWEEN SOLICITOR AND CLIENT UPHELD: HIGH COURT DECISION
I am grateful to Lexlaw ltd for bringing my attention to the judgment of HHJ Parfitt (sitting as a High Court Judge in Lexlaw Ltd v Zuberi [2020] EWHC 1855 (Ch) (10 July 2020). They have sent me their Note…
A CASE THAT SHOULD BE READ BY EVERY LAWYER WHO BILLS CLIENTS: CLAIM £84,000 – GET £8,000: PROVIDE ADEQUATE ESTIMATES OF COSTS OR ELSE…
The judgment of Master Leonard Dunbar v Virgo Consultancy Services Ltd [2019] EWHC B12 (Costs) provides an object lesson as to why lawyers must give a full and proper estimate of costs to their clients. The defendant solicitor sought £84,ooo…
PROVING THINGS 131: IN THE ABSENCE OF EVIDENCE THE COURT SHOULD NOT DRAW INFERENCES IN SOLICITOR’S COSTS CASE
The judgment in Gill v Heer Manak Solicitors [2018] EWHC 2881 (QB) is one of those cases that will get costs lawyers excited. However it is not so much a case about costs as a case about evidence, or the absence…
ESTIMATES OF COSTS AND THE FINAL BILL: SOLICITOR AND OWN CLIENT COSTS: CLIENT (PARTIALLY) SUCCESSFUL ON APPEAL
In Harrison v Eversheds Llp [2017] EWHC 2594 (QB) Mrs Justice Slade allowed, in party, a client’s appeal in relation to estimates of costs and final costs. It is a case that emphasises the importance of giving full information in relation…
GET £15,000 FOR YOUR COSTS PAY £20,000 IN COSTS: CONDITIONAL FEE AGREEMENT UNFAIR AND UNREASONABLE AND WAS SET ASIDE
In Vilvarajah -v- West London Law Limited [2017] EWHC B23 (Costs) Master Gordon Saker declared a conditional fee agreement unreasonable and set it aside. The history and circumstances of this action make for interesting reading. “There is no correspondence between…
SOLICITOR’S BILL AND SPECIAL CIRCUMSTANCES WITH £4.2 MILLION AT STAKE
The case of Eurasian Natural Resources -v- Dechert LLP [2017] EWHC B4 (Costs) has already attracted much attention. A previous hearing before the Court of Appeal involved no less than five QCs just to determine whether aspects of the solicitor…
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