BILLS OF COST SOUTH AFRICA
LEGAL COST CONSULTANTS
Bills of Cost Services
Experienced Legal Cost Consultants
Drawing A Formal Bill Of Cost
The fee charged is 11% of the total fees of the bill as drawn, plus R4.00 per page for each copy of the bill.
Attending To The Taxation Of A Bill
Attending Taxations of bills of costs in the High, Magistrate’s and Labour Courts and all other forums (private, arbitrations and mediations) We are fully qualified and admitted legal practitioners with Right of Appearance in the High Court and we can appear independently at all court proceedings / taxations. Being able to draft the documents and to present same at taxation gives us a unique advantage, in the sense that we have an intimate knowledge of the matter. Bound by the Rules and Codes of the Legal Practice Council, our clients can be assured of professional and ethical service at all times. The fee charged for attending to the taxation of a bill is the fee allowed by the Taxing Master for such attendance, alternatively at an hourly rate of R1 000.00 per hour in instances where an attending fee is not recoverable.
Opposing Bills OF costs
It is a reality that not all cases are won and in such instances the unsuccessful party will most likely be faced with a legal bill of cost aimed at indemnifying the successful party for costs incurred in litigation. Of course the unsuccessful party has the right to scrutinise and object to any charge appearing in such a bill of cost. As opposing a bill of cost can be even more complicated in law than presenting a bill of cost. The services we provide in this regard is just as valuable to the unsuccessful party for the attainment of justice.
Drafting of Party-Party Bills of Cost
Drafting of Party-Party Bills of Cost o Party and party costs are legal costs that a court may order the losing party to pay to the successful party in a court case. The courts have rules which prescribes very specific tariffs and the bill of cost has to be drafted in accordance with these tariffs. The Magistrate’s- and High Courts have different tariffs and the Magistrate’s Court tariffs are significantly lower than that of the High Court. Party and party bills will also not include all of your costs which you had to pay your own attorney. For instance, they don’t necessarily include charges for the correspondence between you and your attorney.
Drafting of Attorney and Client Bills of Cost
Attorney and client costs will include party and party costs and it will include those charges for attendances between you and your attorney. This normally takes place where a Court believes that a party’s conduct in the course of the litigation has been such that a punitive costs order is warranted. o These costs are subject to the same court tariffs as party and party costs. Attorney and “own” client costs These are the actual fees payable by a client to his attorney, in terms of their fee agreement / mandate. The hourly rate can then be included in the bill of cost, but these costs are not usually awarded by the Courts.
Settling of Bills of Cost
When presenting a bill of cost to the losing party and before a date for formal taxation is set, the parties are free to settle the matter. We always make bona fide (“good faith”) attempts to settle our client’s bills with the opposition and in the process mitigate the risks of proceeding to formal taxation. This process also saves our clients’ money and time. Once a matter is settled, we can approach the relevant taxing master to have the allocator (a page where the total amount due is stipulated) stamped. In party and party matters this has the same effect as a court order.
Analysing Bills of Cost
Our services also include the analysing of any bill of cost in the normal course. We scrutinise all expense items / disbursements, for example counsel’s fees, sheriff’s charges, expert witnesses and many more. Opinions on fees charged. Proposals to increase fees and to improve profitability in your practice.
Bills of Cost Services - South Africa
Drawing a Formal Bill of Cost:
Fee Structure: The fee is set at 11% of the total bill fees, plus an additional R4.00 per page for each copy.
No Fee Bill Option: Available upon request, this version lists only disbursements at the standard rate of R4.00 per page per copy.
Drawing an Informal Bill of Cost:
Non-Taxable Format: Charges a fee of 7% on the total bill fees, with an additional R4.00 per page for each copy. This format is designed for an accurate fee assessment without tax implications.
Drawing a Bill for Work Done on Behalf of the RAF (Road Accident Fund):
Special Format: The fee is 11% of the total bill, with half of this fee recoverable from the RAF.
Analysis and/or Opposition of a Bill:
Opposition Fee: 10% of the reduced amount of the bill. Preparation Costs: R1,000.00 per hour for analyzing the bill and drafting a Notice to Oppose.
Attending the Taxation of a Bill:
Taxation Fee: Either the fee set by the Taxing Master or R1,000.00 per hour if no fee is recoverable.
Settlement of a Bill:
Settlement Fee: 5% of the settlement total, or the fee for attendance if lower.
Preparing Bills:
Practice: Over decades, legal practitioners have relied on legal cost consultants for preparing bills for both Party and Party, and Attorney and Client scenarios, adhering to court rules across various jurisdictions.
Informal Bills: Useful for providing clients with a concise account of work done, or for determining costs for security or during settlement talks involving legal fees.
Opposing Bills:
Reality Check: Not all legal battles are won, leading to the need to handle bills from the opposing side. Right to Challenge: Clients have the right to challenge any part of a bill of costs, which can be legally complex. Our services are crucial in ensuring fairness in these disputes.
Attending Taxation:
Expert Panel: We have a team of experienced legal cost experts who can represent clients at taxation hearings at no additional cost.
Introducing Bills of Cost: Your Solution for Efficient Legal Billing
Before the advent of cost consultant services (Bills of Cost), attorneys were burdened with the task of preparing and taxing their own bills, a process fraught with inefficiencies.
This often entailed:
- Tedious Work: Hours of labor-intensive work that could detract from more strategic legal activities.
- Time-Consuming: Long hours spent on administrative tasks rather than client-focused work.
- Risk of Under-Recovery: In an effort to expedite the process, attorneys might overlook details, leading to inaccuracies and, consequently, under-recovery of expenses.
This above scenario underscores the necessity for specialized services like Bills of Cost, designed to streamline and optimize the billing process for legal professionals.
Types of Legal Costs
- Party and Party Costs – costs incurred while prosecuting or defending a claim in court. They relate only to costs actually associated with a court case. Party and party costs are the costs most often awarded in matters.
- Attorney and Client Costs – these costs are punitive in nature as they include not only party and party costs, but costs that are also associated with attendances between the client and the attorney. They are thus more onerous than party and party costs.
- Attorney and Own Client Costs – these are costs that are not awarded by the courts. They refer to the costs a client will actually owe their attorney. The costs that a client will need to settle with their attorney – whether or not the matter is successful.
