EXPLANATORY STATEMENT
Statutory Rules 1983 No.264
Issued by the Authority of the Judges of the Federal Court of Australia
AMENDMENTS OF THE RULES OF THE FEDERAL COURT OF AUSTRALIA
Section 59 of the Federal Court of Australia Act 1976 permits the Judges of the Court (of whom there are twenty-seven (27) including the Chief Judge) or a majority of them, to make Rules of Court not inconsistent with the Act, making provision for or in relation to the practice and procedure to be followed in the Court (including the practice and procedure to be followed in Registries of the Court) and for or in relation to all matters and things incidental to any such practice or procedure, or necessary or convenient to be prescribed for the conduct of any business of the Court. Section 59 of the Act also provides that sections 48, 49 and 50 of the Acts Interpretation Act 1901 apply in relation to these Rules of Court made under that section as if references in those sections of that Act to regulations were references to Rules of Court.
The present Federal Court Rules came into operation on 1 August 1979 (Statutory Rules 1979 No. 140). They were amended by Statutory Rules 1980 No. 87 which operated from 1 May 1980, 1982 No. 217 which operated from 1 October 1982 and 1982 No. 408 which operated from 7 February 1983.
The Rules now made come into operation on 8 November 1983. These Rules provide a new Second Schedule to the Federal Court Rules. The Second Schedule contains a scale of costs solicitors are entitled to charge in respect of work done on and after 8 November 1983. Bills of costs are taxed by an officer of the Federal Court. His decisions are subject to review by a Judge on the application of a party to the litigation.
The Federal Court has followed the High Court costs’ scale since the Court commenced operating in 1977. The scale now introduced was adapted from a model scale submitted by the Law Council of Australia for the Judges’ consideration.
The amounts shown in the scale generally accord with those which may be claimed in the High Court. They provide an increase of about 20% over similar costs which operated from March 1981.
Overview
The Statutory Rules 1983 No. 264, issued by the authority of the Judges of the Federal Court of Australia, pertain to amendments of the Rules of the Federal Court of Australia, enacted in 1976. These amendments were necessary to update the practice and procedure within the Court, including those followed in its Registries, and to address incidental matters pertinent to these procedures. This was in response to the need for a more contemporary and adaptable framework for the conduct of the Court's business, reflecting changes since the Court's inception and the operational commencement in 1977. The Judges of the Federal Court, under Section 59 of the Federal Court of Australia Act 1976, have the power to enact these rules, ensuring they do not conflict with the overarching Act and apply the relevant sections of the Acts Interpretation Act 1901 as if referring to Rules of Court.
These amendments introduce a new Second Schedule to the Federal Court Rules, establishing a scale of costs solicitors can charge for work done from 8 November 1983 onwards, which aligns with the High Court's costs' scale but provides an increase of approximately 20% over the previous scale. This scale was adapted from a model proposed by the Law Council of Australia, facilitating a more systematic and fair approach to legal costs within the Court. This change was intended to modernise the cost structure, ensuring it reflects current economic conditions and the evolving nature of legal services provided within the Federal Court system.
Scope and Application
The Federal Court of Australia Act 1976, through the Statutory Rules 1983 No. 264, outlines the practice and procedure to be followed in the Federal Court and its registries, allowing the judges to make Rules of Court, as permitted under section 59 of the Act. These rules apply to all matters incidental to the practice or procedure of the Court and are necessary for the conduct of its business. The amendments, effective from 8 November 1983, introduced a new Second Schedule detailing a scale of costs that solicitors can charge for work done, which is consistent with the High Court's costs’ scale and represents an approximate 20% increase over the previous costs effective from March 1981. The application of these rules extends nationally as they govern the operation and procedure of the Federal Court across Australia, with decisions on bills of costs subject to review by a judge.
Key Provisions
The Federal Court of Australia Act 1976 (the Act) empowers the Judges of the Court to create Rules of Court, which are detailed in Statutory Rules 1983 No. 264 (the Rules). These Rules are designed to govern the practice and procedure to be followed within the Court and its registries, and to address all matters incidental to such practices or necessary for the conduct of its business. Specifically, the Rules include a new Second Schedule, which introduces a scale of costs that solicitors can charge for work performed on or after 8 November 1983 (Section 59). This scale is adapted from a model submitted by the Law Council of Australia and is generally in line with the costs that may be claimed in the High Court.
Under these Rules, solicitors can charge fees according to the newly established cost scale, which represents an approximate 20% increase over the previous costs that were effective from March 1981. The bills of costs are to be taxed by an officer of the Federal Court, and any decision made by this officer can be reviewed by a Judge if a party to the litigation applies for such a review. This system ensures that the costs charged are fair and in line with the new scale, while also providing a mechanism for disputes to be resolved through judicial review.
The obligations imposed by these Rules primarily concern the accurate calculation and documentation of costs according to the newly established scale. Solicitors and other legal practitioners must ensure that their billing is compliant with the scale, and that all costs claimed are substantiated and justifiable. The Rules also mandate that the decisions of the officers who tax the bills of costs be subject to judicial review, which adds a layer of accountability and ensures that any disputes can be resolved through the Court’s judicial process.
Any failure to comply with the Rules regarding the costs scale can result in significant consequences. While the Rules themselves do not explicitly detail specific offences or penalties, breaches of the Act or the Rules can lead to legal challenges and potential sanctions. If a party believes that the costs charged are unjust or not in accordance with the Rules, they can apply for a review by a Judge, which may result in the adjustment of the costs. Additionally, persistent non-compliance or intentional mischarging could potentially lead to disciplinary actions by professional bodies or other legal repercussions.