Watson v Hewett & Lovitt Pty Ltd

In this case, the applicant, Antony John Watson, sought an extension of time to assess the costs incurred by the respondent, Hewett & Lovitt Pty Ltd, which provided legal advice and assistance during the administration of the estate of the late Shirley Ann Watson. The respondent opposed the application but suggested proceeding to a provisional assessment if the extension was granted. The case was decided on the papers with various affidavits submitted by both parties. The court had to determine whether an extension of time was justified under the Legal Profession Act 2008 (WA).

The court examined the length of the delay, the reasons for the delay, and whether it would be just and fair to grant the extension. The respondent initially intermingled costs for services provided in three separate capacities, which led to the Registrar declining to pass the accounts in 2016. The applicant and the respondent engaged in extensive consultations and negotiations to resolve the issue, which contributed to the delay. Additionally, the COVID-19 pandemic caused further delays in the process.

The court concluded that the applicant had established that an extension of time would be justified. Factors such as the lack of a costs agreement, the intermingling of costs, the respondent admitting to overcharging, the parties negotiating in good faith, and the respondent's earlier concession that an extension should be granted, all contributed to the decision. The court found that the delay did not prejudice the respondent as they still had all necessary information and material to deal with the assessment of costs.

The court granted the applicant's application for an extension of time and ordered that costs of the application be in the cause, unless the parties agreed otherwise or sought alternative costs orders within seven days of the publication of the reasons.