Legal Profession (Magistrates Court) (Civil) Determination 2018 (WA)

Case

21 June 2018 2151

GOVERNMENT GAZETTE, WA

LEGAL PROFESSION ACT 2008

LEGAL PROFESSION (MAGISTRATES COURT)

(CIVIL) REPORT 2018

Made by the Legal Costs Committee under Division 5 of Part 10 of the Legal Profession Act 2008

(Act).

PART 1—PRELIMINARY

1. Citation

(a) This Report may be cited as the Legal Profession (Magistrates Court) (Civil) Report 2018.

(b)

The Determination set out in the Schedule to this Report is referred to in this Report as the Legal Profession (Magistrates Court) (Civil) Determination 2018.

PART 2—NOTICE AND INQUIRIES

2. Notice under section 278 of the Act

The Legal Costs Committee has complied with the notice provisions of section 278 of the Act.

3. Inquiries and submissions under section 277 of the Act

Before making the Legal Profession (Magistrates Court) (Civil) Determination 2018 the Legal Costs

Committee—

(a) reviewed all submissions received as a result of the notice given under section 278 of the Act;

(b)

considered the impact of changes in relevant Australian Bureau of Statistics data for the period;

(c) reviewed the Legal Practitioners (Magistrates Court) (Civil) Determination 20161; and

(d)

had regard to relevant provisions of the Magistrates Court Act 2004 and the Magistrates Court (Civil Proceedings) Act 2004, and in particular notes section 13(1) of that Act, which sets out the guiding principles for the conduct of civil proceedings in the Court.

PART 3—REPORT OF LEGAL COSTS COMMITTEE'S CONCLUSIONS

4. Maximum hourly and daily rates changed—scale of costs amended

(a)

The information gained as a result of the inquiries and submissions described in clause 3 satisfied the Legal Costs Committee that having regard to the provisions of the Magistrates Court Act 2004 and the Magistrates Court (Civil Proceedings) Act 2004, it remains appropriate to determine hourly and daily rates and a scale of costs for legal work applicable to civil proceedings in the Magistrates Court.

1 Published in Gazette 24 June 2016

(b) It is the recommendation of the Legal Costs Committee that—

(1) as a result of the inquiries and submissions described in clause 3;
(2) having considered the impact of relevant Australian Bureau of Statistics data;
(3) having considered submissions from The Law Society of Western Australia; and

(4) taking into account the incidental administrative implications of the calculation of the

Goods and Services Tax,

the hourly and daily rates referred to in subclause 4(a) be varied from the hourly and daily rates used in the Legal Practitioners (Magistrates Court) (Civil) Determination 2016. Those amended rates are set out in Table A of the Legal Profession (Magistrates Court) (Civil) Determination 2018.

(c)

The Legal Costs Committee has concluded that the matters set out in section 13(1) of the Magistrates Court (Civil Proceedings) Act 2004 properly informs the approach to the recovery of costs recommended in Legal Profession (Magistrates Court) (Civil) Determination 2018. In particular the Legal Costs Committee notes—

(1) the Magistrates Court is not a court of pleadings;

(2) there are substantial differences in practice and procedure between the Magistrates

Court and other civil courts in this State;

(3) it is intended that the Magistrates Court be a low cost jurisdiction;

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(4) actions where the quantum is less than $10,000 do not attract an entitlement to
party/party costs, without a special costs order; and
(5) the monetary jurisdiction of the Magistrates Court is presently $75,000.

(d)

Having regard to the information gained as a result of the inquiries and submissions described in clause 3, the Legal Costs Committee has concluded it remains appropriate to—

(1) order the scale to reflect the procedures utilised in the Magistrates Court and the flow
of litigation;
(2) maintain consistency where practicable with the format of the Legal Profession
(Supreme and District Courts) (Contentious Business) Determination 2018; and
(3) provide for hourly and daily rates applicable to Counsel and Senior Counsel.
(e) It is the recommendation of the Legal Costs Committee as a result of the inquiries and submissions described in clause 3, the scale of costs be varied in the manner set out in Table B of the Legal Profession (Magistrates Court) (Civil) Determination 2018.
(t) The Legal Costs Committee intends, because the scale sets maximum hourly and daily rates and amounts and allowances that must not be exceeded, that the hourly and daily rates and scale of costs will apply in circumstances requiring the determination of allowable and other costs in the minor cases procedure of the Magistrates Court.
(g) The Legal Costs Committee intends that the Determination shall apply to all civil

proceedings dealt with in the Magistrates Court, including civil jurisdiction conferred on the Court by a written law, including, for example, the Dividing Fences Act 1961 and the Restraining Orders Act 1997.

(h) The recommendations of the Legal Costs Committee are not intended to override any
entitlement of a law practice to make a written agreement as to costs with a client under the
Act or any similar legislation.

CLARE THOMPSON, Chair.
ANGELA GAFFNEY, Member.
MARCUS COCKER, Member.
JANICE DUDLEY, Member.
MATTHEW CURWOOD, Member.

BRENDAN ASHDOWN, Member.

Schedule

LEGAL PROFESSION ACT 2008

LEGAL PROFESSION (MAGISTRATES COURT) (CIVIL) DETERMINATION 2018

Made by the Legal Costs Committee under section 275 of the Legal Profession Act 2008 (Act).

1. Citation

This Determination may be cited as the Legal Profession (Magistrates Court) (Civil) Determination

2018.

2. Commencement

This Determination comes into operation on 1 July 2018.

3. Application
(a) This Determination applies to the remuneration of legal practitioners, clerks and paralegals
in respect of advice given by legal practitioners in or for the purposes of civil proceedings
before the Magistrates Court.
(b) This Determination does not apply to the remuneration of legal practitioners based on costs

incurred in respect of business carried out before the commencement of this Determination.

4. No minimum charge
In no respect is this Determination to be seen as providing a minimum charge for any work other
than the items referred to in clause 5. For example, item 2(c) provides for $3,344 for the work
involved. The figure of $3,344 is a maximum, but on taxation less than $3,344 might be allowed.
Where there is a set cost or time or level of fee earner indicated, the purpose is to indicate to the

Assessing Officer what reasonably may be expected in most cases.

5. Fixed items

Some items in this Determination have been fixed without any indication of how these items have been calculated. These items are 1, 2(a), 4(a), 11, 12(c), 17(a)(2), 17(b), 18(a), 20 and 21(a). These have been fixed because, based on past practices, the Court staff require a fixed figure when completing the form of Entry of Judgment by Default and the like.

6. Time estimates

The reason for stating the number of hours estimated to be necessary to perform each of the items of work described in this Determination is to provide guidance to the Court when dealing with the question of costs so that the Court has some idea how much time is reasonably necessary to perform work in most cases. For example, in item 15(a), which relates to preparation for trial or getting up a

21 June 2018 GOVERNMENT GAZETTE, WA 2153

case for trial, the time indicated is that which can be expected in most cases. Some items reflect a number of hours that have been estimated so as to include work done with respect to the process of obtaining and considering evidence, interrogatories, documents, disclosures and the like, for example items 2(b), 4(b), 5, 10 and 19. The hours referred to in this Determination will guide the Assessing Officer about the amount which should be allowed in a particular case.

7. Counsel

(a)

In items 14 and 16, if independent counsel is not retained for the trial, this will be a factor to be considered by the Assessing Officer who might not then permit the full amount in the determination for fee on brief under item 16(b), as well as a full getting up allowance under item 14. This is in line with the decisions of Commonwealth v Magriplis (1962) 3 FLR 47 and Washbourne u SEC (1992) 8 WAR 188.

(b)

All appearances allowed for in items 10, 15 and 22 of Table B are intended to be charged at the applicable counsel rate, and not at any higher rate that may be applicable to the actual practitioner by reason of the person undertaking the appearance otherwise being entitled to charge as a Senior Practitioner.

(c)

Fees charged by practitioners who practice solely as barristers in accordance with Supreme Court Practice Direction 10.5 are only to be charged at the rates provided for counsel of their seniority in Table A and are not to be charged at rates applicable to a Senior Practitioner.

(d)

The increase in Counsel rates, and no increase in Senior Counsel rates in Table A is designed to narrow the gap between those levels of seniority of counsel and more accurately reflect the market for legal services.

(e)

Recovery of daily fees for counsel on the taxation or assessment of a Bill of Costs is intended to apply only when a full day has been worked, either in Court or in Court and in preparation for a subsequent hearing day.

8. Settled proceedings

It is intended that item 13 should apply even if there is no trial. Thus, if the case is settled before trial and the law practice can demonstrate that preparation for trial was carried out, costs may be recovered for that work and allowed on an assessment of costs.

9. Restricted Practitioner category

The amendments brought in by the Legal Profession (Magistrates Court) (Civil) Determination 2016 remain in effect. Clause 10(e) of that Determination ceases to have effect with the introduction of this Determination.

10. Maximum hourly and daily rates

(a)

The hourly and daily rates set out in Table A are the maximum hourly and daily rates, inclusive of GST, which the Legal Costs Committee determines shall be used to calculate the dollar amounts set out in Table B. Except for certain items, each item in this Determination specifies a dollar amount with reference to the fee earner.

(b)

The rates referred to in paragraph (a) were ascertained in the manner set out in clause 4 of the Legal Profession (Magistrates Court) (Civil) Report 2018.

(c)

The daily rates set out in Table A are intended to cover all work done on a hearing or trial day whether in or out of court including preparation of written submissions and are not intended to be supplemented in any way by additional hourly charges given that the maximum number of hours allowed for the daily rate is 10 hours per day.

(d) The items in Table B are not intended to be calculated on the basis of a minimum 6 minute
unit. Table A

Maximum allowed

Fee Earner hourly rates
Senior Practitioner 0 (permitted to practise on his or her own $418
account for 5 years or more) (SP) a
Junior Practitioner 0 (permitted to practise on his or her own $319
account for less than 5 years) (JP)
Restricted Practitioner (RP) #, 0
$231
Clerk/Paralegal (C/PQ ##
Counsel fees charged as a disbursement to law practices or
charged by in-house Counsel
Counsel*
$154
hourly rate
daily rate
$341
$3,410

Senior Counsel**

hourly rate $539
daily rate $5,390

The reference to Restricted Practitioner, Junior Practitioner or Senior Practitioner in this Determination includes all legal practitioners even if the services were rendered in another State or Territory. Where a local practitioner has held an interstate practising certificate, the length of unrestricted legal practice in that other jurisdiction is to be counted in assessing that practitioner's years of practice for the purposes of this Determination.

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# The reference to Restricted Practitioner in this Determination includes practitioners undertaking restricted legal practice for the purposes of obtaining the required experience set Out in section 50 of the Act and does not include a reference to an Australian legal practitioner who has a condition placed on their practicing certificate by the Legal Practice Board, State Administrative Tribunal or otherwise, requiring them to practise under supervision for disciplinary, medical or other reasons.
The reference to Clerk/Paralegal in this Determination includes a law graduate prior to their admission to practise as an Australian lawyer.
* The reference to Counsel in this Determination means a practitioner acting as a barrister other than a Senior Counsel, including for the purposes of items 10, 15 and 22, a practitioner appearing in court who does not practise in accordance with Supreme Court Practice Direction 10.5.
** The reference to Senior Counsel in this Determination means a person within the meaning of item
11 or item 12 of Regulation 5(2) of the Legal Profession Regulations 2009 (WA).

11. Costs

(a)

Subject to the provisions of the Act permitting a law practice to make a written agreement as to costs with a client, the costs of or in relation to a party to an action or other proceeding (inclusive of GST and counsel fees, but exclusive of other disbursements)—

(1) recoverable by one party from another party; or

(2) payable by a party to that party's own law practice,

shall not exceed the amounts set out in Table B (except as otherwise provided in item 25 of

Table B).

(b)

Allowances made under item 25 of Table B are only to be awarded as between a law practice and its client, and not between party and party unless the Court otherwise orders. The item is not intended to be used to claim increased allowances for items which should properly fit into another item in the Determination, for example item 10.

(c)

The Legal Costs Committee notes the impact of the decision in Rodwell u Hutchinson [2010] WASCA 197, and so no allowance is made in this determination for an award of indemnity costs.

(d)

The Legal Costs Committee notes the comments of the court in Defendi u Eden Hill Plasterers [2008] WASCA 269 at [7] as to the importance of the proportionality principle in litigation in this Court, which arises in respect to all costs incurred in the Court.

Table B

Magistrates Court Civil Scale of Costs 2018

Fee

Item Time Earner $
1. Letter of demand issued prior to proceedings 77
2. Claim—
(a) Claim, including instructions, but 8 hours SP 418

excluding Statement of Claim

(b) For each additional defendant 55
(c) Statement of Claim (including 3,344

preparation and lodgement of a particulars of claim, where necessary or by order, and list of documents)

3. Appointment of litigation guardian 2 hours RP 462
  1. Response—

(a) Lodgement of a response to a claim 209
(b) Statement of defence 8 hours SP 3,344
(c) Counterclaim, including instructions 8 hours SP 3,344
and statement of claim in the
counterclaim, and all other

documents necessary

5. Third party claim, including instructions and 8 hours SP 3,344
list of documents
6. Disclosure—
Giving additional disclosure where ordered by 5 hours RP 1,155
the Court or a Registrar
7. Inspection—
Inspection and giving inspection whether by per hour RP
personal attendance or otherwise
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Fee

Item Time Earner $

8.         Interrogatories—

(a) Delivery of interrogatories 5 hours SP 2,090
(b) Answers to interrogatories including 5 hours SP 2,090

affidavit

9. Interpleaders—
Interpleader proceedings—
(a) where uncontested 1 hour JP 308
(b) where contested An allowance in accordance with item 10

10.        Application to the Court—

(a) Applications and responses to 1 day C 5,115
applications including under Part 21 preparation
of the Magistrates Court Civil .4 day
Proceedings Rules 2005, including all hearing
documentation in preparation for
hearing
(b) Second or subsequent half day C 1,705
(c) Ex parte applications, including per hour SP

preparation

(d) If the hearing on any one day 1 hour SP 407
comprises a directions hearing or
similar only
(e) Application for substituted service 2 hours JP 638

Note: If the proceedings do not commence and settle or adjourn on the day of the hearing, then the Assessing Officer shall allow an amount which is reasonable in the circumstances

11. Application for entry of judgment by default 154
(without trial)

12.

Offers of settlement, notices, practice directions, applications, declarations, memoranda, affidavits, certificates—

(a) Offers of settlement 2 hours SP 836
(b) Acceptance of offer of settlement 2 hours SP 836

(c) Other notices and certificates referred to or required by the Act, Rules or procedures of the Court (including practice directions) not otherwise specified in this Scale

154

(d) Preparation, lodgement and service of affidavits and statutory declarations

per hour

SP

418

not otherwise provided for

(f) Preparation, lodgement and service of

a listing conference memorandum
excluding witness statements

3 hours SP 1,254

13.       Preparation of case—

Preparation for trial (includes work 50 hours SP 20,900
reasonably and necessarily undertaken prior
to commencement of proceedings)
14.
Examination of witness before trial by a legal An allowance
practitioner, pursuant to an order in accordance

with item 15(e) or (f)

15.        Trial—

(a) Fee on brief for Counsel; i.e. half day trial and preparation

2 days

C

8,525

preparation

. 4 day of
trial
(b) Allowance for second half day of trial C 1,705

(c) Fee on brief for Senior Counsel ie half day trial and preparation (where two

2 days

Sc

13,475

preparation

or more Counsel are certified for) 4 day of
trial
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Fee

Item Time Earner $

(d) Allowance for second half day of trial for Senior counsel

SC

2,695

(e) counsel fee for the second and each successive day of hearing

c

3,410

(f) counsel fee for Senior counsel for

second and each successive day of
hearing

Sc 5,390
(g) Instructing legal practitioner per hour JP/RP

attending trial

(h) clerk attending trial per hour CIPL

Note: Subject to paragraphs (a)—(h) if—

(1) The trial lasts less than 2 hours; or
(2) The trial does not commence and

settles or adjourns on the day of the trial, then the Assessing Officer shall allow such amount as is reasonable in the circumstances

(i) Attending on reserved judgment per hour SP

(including preparation, consideration of reasons for decision and all necessary work and attendances to obtain final orders)

  1. Pre-trial, mediation, conferrals, or other conferences

(a) where required by the applicable

Rules of the court, practice direction, order of the court or legislation;

(b) including informal conferences where per hour SP
reasonably held after commencement
of proceedings; and
(c) preparation reasonably undertaken
for the conferences described in

paragraphs (a) and (b) of this item.

  1. Judgments and orders—

(a)

Settling and extracting judgment or order

(1) with appointment 1 hour RP 231
(2) without appointment 209
(b) Request for certified copy of judgment 154

or order

18.        Enforcement—

(a) Execution 198
(b) If against land, an additional 3 hours RP 693
19. Proceedings in court pursuant to Civil
Judgments Enforcement Act 2004 for the JP 484
following, including preparation— 1.5 hours RP 352
(a) Means Inquiry CIPL 231
(b) Default Inquiry
(c) Suspension of enforcement order

application

(d) Application to cancel or amend an order

20.        Registration of judgments—

Registration of judgments including those 209
under Service and Execution of Process
Act 1992 (Cwlth)
  1. Assessment of costs including drawing bill—

(a) Lodgement of bill of costs 55
(b) Drawing bill of costs, copies and JP

service

(c) Making an objection to a bill per hour JP
(d) Assessment of costs (including the JP
time spent in preparing for the

assessment)

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Fee

Item Time Earner $
22. Appeals— Allowances
An appeal to a Magistrate from a decision calculated in

of a Registrar

accordance with item 10

23. Copies—

Copies where necessary, including of per page 0.165
documents for which allowance is

otherwise made in this Determination

24. Accounts and inquiries— An amount
Attending on taking accounts, inquiries SP which is

reasonable M
the
circumstances

25. Other work—

(a) Time reasonably spent by a legal per hour

practitioner on work requiring the skill of a legal practitioner (of the standing indicated) but not covered by any other item

SC

Or

C SP

(b) Time reasonably spent by a legal per hour
practitioner, or by a clerk or paralegal JP
of a legal practitioner, on work not RP
covered by any other item or by C/PL
paragraph (a)

Note: Allowances under item 25 are only to be awarded as between a law practice and its client, and not between party and party unless the Court otherwise orders.

26. Disbursements—
In addition to the fees and charges allowed under this Determination—
(a) As between a law practice and client, a law practice may charge and be allowed

disbursements necessarily or reasonably incurred; and

(b) As between party and party, a party may be allowed disbursements incurred by

that party except insofar as they are of an unreasonable amount or have been unreasonably incurred, so that subject to the above exceptions, that party is fully reimbursed for its disbursements

27.

Allowances for witnesses— conducting any proceedings in a case may include a reasonable allowance for—

(a) witnesses necessary to the case because of their professional, scientific or other

special skill or knowledge; and

(b) witnesses necessary to the case other than those covered in paragraph (a).

In fixing an allowance for witnesses under paragraph (b), including the Claimant and

income (if any) actually lost by the witness; Defendant, the Assessing Officer may have regard to the amount of salary, wages, or

In fixing an allowance for witnesses under either paragraph (a) or paragraph (b), regard should be given to whether it was reasonable in all the circumstances to call a witness in person when the witness was able to give evidence by use of audio-link, video-link or similar technology.

28. Travel—

(a) As between party and party, minor travel as defined in the Legal Profession
(Magistrates Court) (Civil) Determination 2016, is to be allowed as part of the
costs awarded for an attendance at chambers or Court, without further order.
(b) As between party and party, time spent travelling by a law practice which is not

minor travel and which is required by reason of an order of the Court requiring the parties to attend at a location other than the location at which the proceedings is case managed, is to be charged at no more than one half of the rates set out in Table A, with a maximum of 8 hours in any one day, without further order.

(c) As between a law practice and its own client, time spent travelling by a law
practice, other than minor travel, is to be charged at no more than one half of the
rates set out in Table A, with a maximum of 8 hours in any one day.

Note: Allowances under item 28(c) are only to be awarded as between a law practice and its client, and not between party and party unless the Court otherwise orders.

Made by the Legal Costs Committee on 13 June 2018.

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