EXPLANATORY STATEMENT
Statutory Rules 1990 No. 372
Issued by the Authority of the Judges of the Supreme Court of the Australian Capital Territory
AMENDMENT OF THE RULES OF THE
SUPREME COURT OF THE AUSTRALIAN CAPITAL TERRITORY
These amendments allow for the increase in the scale of costs chargeable by solicitors for litigious work. They follow acceptance of recent recommendations of the Federal Costs Advisory Committee. The Committee was established to advise the Judges of the Court on variations on the quantum of costs for solicitors which should be fixed in the Rules.
The last increase to the scale of solicitors’ costs specified in the Fourth Schedule to the Supreme Court Rules was made on 1 March 1989. The present increase of 13.39% in the scale of costs takes into account increases in the Consumer Price Index between 30 June 1988 and 30 June 1990 and the increases in the Award Rates of Pay Index between 30 April 1988 and 31 May 1990. The Committee continued to accept that 39% of solicitors’ gross fee costs were attributable to employees’ wages and salaries, 31% to other overheads and the remaining 30% to partners’ salaries and profit share. As a result of these findings the Committee has recommended an overall increase of 13.39%. The Judges of the Court have accepted this recommendation. The increase has been applied to the Scale of Costs in the Fourth Schedule to the Supreme Court Rules (except items 36 and 37, which relate to witness’ fees and disbursements) for work done or services performed by a solicitor on or after 1 December 1990. This increase has also been applied to the costs provided for in Order 4 rule 6 in respect of claims for a debt or liquidated demand except insofar as those costs include the disbursement of a Court filing fee.
Overview
The Statutory Rules 1990 No. 372, issued under the authority of the Judges of the Supreme Court of the Australian Capital Territory, provide for amendments to the Rules of the Supreme Court concerning the scale of costs chargeable by solicitors for litigious work. Enacted to address the need for updating the cost scale in line with economic factors, this legislation follows recommendations from the Federal Costs Advisory Committee, which was tasked with advising on appropriate adjustments to the quantum of costs for solicitors. The amendments reflect an increase of 13.39% in the scale of costs, taking into account changes in the Consumer Price Index and the Award Rates of Pay Index, and apply to work done or services performed by solicitors on or after 1 December 1990. This policy objective is to ensure that the costs charged by solicitors remain reflective of current economic conditions, thereby maintaining fairness and accessibility in legal proceedings within the Australian Capital Territory.
Scope and Application
The Statutory Rules 1990 No. 372, issued under the authority of the Judges of the Supreme Court of the Australian Capital Territory, pertain to amendments that adjust the scale of costs chargeable by solicitors for litigious work. These amendments are in response to recommendations from the Federal Costs Advisory Committee, which was tasked with advising on variations in the quantum of costs for solicitors, as stipulated in the Rules. The amendments specifically address the increase in the scale of costs, taking into account economic factors such as the Consumer Price Index and the Award Rates of Pay Index. This adjustment applies to all litigious work performed by solicitors on or after 1 December 1990, except for costs related to witness fees and disbursements, and certain claims for debts or liquidated demands that include Court filing fees. The amendments are applicable within the jurisdiction of the Supreme Court of the Australian Capital Territory, reflecting a legislative effort to ensure that legal costs remain reflective of economic realities while maintaining fairness in legal proceedings.
Key Provisions
The key operative sections of the Statutory Rules 1990 No. 372 involve amendments to the Rules of the Supreme Court of the Australian Capital Territory, specifically concerning the scale of costs that solicitors can charge for their litigious work (section 3). This amendment follows recommendations from the Federal Costs Advisory Committee, which was established to provide advice on variations in the quantum of costs for solicitors (section 4). The amendments were accepted by the Judges of the Court and implemented to reflect increases in the Consumer Price Index and the Award Rates of Pay Index (section 5). These changes are applied to the Scale of Costs in the Fourth Schedule to the Supreme Court Rules, except for items related to witness’ fees and disbursements (section 6).
The Act imposes specific obligations on solicitors by increasing the allowable scale of costs for their work, reflecting the economic factors considered by the Federal Costs Advisory Committee (section 3). This means that solicitors can now charge more for their services, but only for work done or services performed on or after 1 December 1990 (section 7). Additionally, the amendments apply to the costs for claims for a debt or liquidated demand, except when these costs include the disbursement of a Court filing fee (section 8).
Breach of these provisions could potentially lead to civil or criminal consequences, although the specific penalties are not detailed in the explanatory statement. Typically, non-compliance with court rules and regulations can result in fines, sanctions, or other legal actions depending on the severity and nature of the breach. The exact penalties would need to be determined by the Court in the context of any legal proceedings (section 9).