Office of the Legal Costs Adjudicators
The Office of the Legal Costs Adjudicators provides an independent and impartial assessment of legal costs incurred by an individual or company involved in litigation (this is now called the adjudication of costs) in the High Court, Court of Appeal or the Supreme Court. This means that it assesses the fair and reasonable amount that one party has to pay to the other side. There are currently 2 Legal Costs Adjudicators (a Chief Legal Costs Adjudicator and a Legal Costs Adjudicator) in Ireland, both of whom are based in Dublin. (See 'Where to apply' below).
This office was previously known as the Office of the Taxing Master. The process was known as taxation of costs and it was carried out by Taxing Masters. 'Taxation of costs' could be a confusing term because it had nothing to do with taxation in the normal sense or with the Revenue Commissioners.
Usually, costs are adjudicated at the end of a case, but this doesn't always happen. Sometimes, a court may award costs in respect of certain applications prior to the final conclusion of the case. The party that is claiming the costs (usually, the successful plaintiff or defendant) must demonstrate that the costs they are claiming were appropriate, fair and reasonable, given the circumstances. There are two main types of costs:
- Party and party costs
- Legal practitioner and client costs
Party and party costs: These are essentially all the costs, charges and expenses that are necessary and appropriate for the purposes of the case. It's important to remember that all the costs may not be allowable and if you are claiming these costs, you must be able to justify why they were incurred and why those costs should be allowed. The courts have held in the past that you are bound when conducting your case to remember that your adversary may in the end have to pay your costs (or you may have to pay theirs) so it pays to be mindful of costs at all times.
Legal practitioner and client costs: These are the costs which have been reasonably incurred, but may not have been absolutely necessary, and which are not recoverable under Party and party costs. Excessive charges are not recoverable. A court must make an order for Solicitor and client costs. Otherwise, costs will be adjudicated on a Party and party cost basis.
Charges to clients
The Legal Services Regulation Act 2015 (Part 10) sets out how solicitors and barristers charge their clients. Under this legislation, your solicitor should give you a detailed estimate of the costs expected to be incurred in a case before they are incurred. Where a barrister is engaged, he or she must provide a similarly detailed estimate to the solicitor, which is then passed to the client. Alternatively, if possible, the client and the lawyers can agree the amount or amounts to be paid.
At the conclusion of the case, the solicitor should give you a detailed statement of all the legal costs associated with your case. This is called the Bill of Costs and must contain:
- A summary of the legal services you were provided with
- Details of all the charges that were incurred and the nature of these charges
- The amount of VAT charged
- The amount of time spent on a matter, if costs are calculated based on time
- The financial outcome of the case, i.e. any damages or other money recovered or payable to the client
- Whether any costs have been paid or are payable by another party
The Bill of Costs must be accompanied by an explanation in writing of how any aspect of the Bill of Costs can be challenged by a client.
How to apply
Before seeking to have any aspect of a bill of costs adjudicated, a person must first attempt to agree the Bill of Costs.
If you wish to have your costs subject to adjudication, you should instruct your solicitor to complete a special form, called a 'Notice of Application for Adjudication of Costs' form, so that the Bill of Costs can be subject to adjudication. It is now possible for legal practitioners to do this electronically. You will then be notified by your solicitor of the date of the adjudication and you should attend the hearing. It's important to remember that you have the option of retaining a legal representative for the adjudication hearing.
If your solicitor does not set the matter down for adjudication, you can set the matter down yourself by completing and lodging the Notice of Application for Adjudication of Costs form (in duplicate form) and lodging the Bill of Costs and all supporting documentation with the Office of the Legal Costs Adjudicators. The Office of the Legal Costs Adjudicators will then inform you when you should be in attendance for the hearing.
Where to apply
You can get more information about adjudication of costs from the website of the Courts Service.
Apply to the Office of the Legal Costs Adjudicators at