A bill of costs sets out the details of professional fees and disbursements charged by lawyers.
A bill of costs provides a detailed itemisation of fees charged by lawyers for work performed and disbursements incurred in relation to that work.
When you seek legal advice, you need to know the costs involved and what you may pay throughout the process. If you receive a bill of costs and believe it is unreasonably high, the Blue Ribbon Legal team can help you.
What is a bill of costs?
A bill of costs includes the solicitor’s professional fees, barrister’s fees, and disbursements.
Professional fees reflect the solicitor’s time and expertise. These fees may take the form of a fixed amount or an hourly rate. They include work such as phone calls, emails, drafting and reviewing documents, and conferences. The costs agreement between solicitor and client should clearly set out the basis for calculating professional fees.
Disbursements include internal charges such as photocopying and faxes, as well as external charges like court filing fees, barrister’s fees, and medical reports.
In cases where costs require assessment or taxation in court, the party seeking to recover costs usually prepares a detailed bill of costs.
How does a client dispute a bill of costs?
In New South Wales and Victoria, if you receive a lump sum bill from your solicitor, you can request an itemised bill within 30 days. Other time limits may apply in other states and territories.
If you believe the costs charged are not fair and reasonable, you must act within strict time limits to apply for assessment. For this reason, you should seek professional help to ensure objections to a bill of costs or tax invoice are valid, concise, and lodged on time.
Legal costing professionals can assess whether you have a reasonable basis to challenge legal costs. They can also identify costs that are not fair and reasonable. Legal costing experts prepare detailed objections to help clients avoid paying excessive legal costs.
How are bills of cost assessed?
The costs assessment process differs between states and territories. In New South Wales, a party files an application for assessment with the Supreme Court. In Victoria, a party files a Summons with the Costs Court. You can apply for assessment whether the costs are paid or unpaid.
During costs assessment, an independent costs assessor reviews the bill and decides whether any unreasonable costs were charged. In New South Wales, the Chief Justice appoints experienced practising solicitors and barristers as costs assessors. In Victoria, the Costs Court includes Associate Judges, a Judicial Registrar, and two Costs Registrars.
A similar process applies when courts order one party to pay another party’s costs, although time limits vary.
How can Blue Ribbon Legal assist you?
At Blue Ribbon Legal, we assist both lawyers and clients with disputes over legal costs. We act in disputes between lawyers and clients, as well as disputes between opposing parties in court proceedings.
If you receive a bill of costs and want to dispute the legal fees charged, we can provide advice and guidance on your options. We prepare and review itemised bills of costs, objections, and detailed submissions. Please get in touch with the experts in legal costing.