Taken from NSW Law Society advisory

COSTS DISCLOSURE REASONABLE STEPS

The Legal Profession Uniform Law (NSW), (the Uniform Law), the Legal Profession Uniform Law Application Act 2014 together with subordinate legislation commenced in NSW on 1 July 2015. It replaces the Legal Profession Act 2004 and the Legal Profession Regulation 2005.

Disclosure Requirements

Initial Disclosure

Under the Uniform Law a law practice must provide the client with information disclosing the basis on which legal costs will be calculated and an estimate of the total legal costs. The law practice must also provide the client with information about the client's rights:

- to negotiate a costs agreement with the law practice;

- to negotiate the billing method;

- to receive a bill and an itemised bill; and

- to seek assistance of NSW Commissioner in the event of a dispute about legal costs

Ongoing Obligation to Disclose

If there is any significant change to anything previously disclosed to the client the law practice must provide the client with sufficient information about the impact of that change on the legal costs that will be payable to allow the client to make informed decisions about the further conduct of the matter.

Client's consent and understanding

When providing the client with both initial and ongoing disclosure the law practice must take all reasonable steps to satisfy itself that the client has understood the information provided and given consent to the proposed course of action for the conduct of the matter and the proposed costs.

Reasonable steps

The Uniform Law does not provide a definition of 'all reasonable steps'. However, good communication skills will no doubt feature strongly in their implementation.

Enter supporting content here

Telephone: 0410 558838
Email: tmsolicitor@tpg.com.au
Web: www.thomasmsolicitor.com
ABN: 50 634 794 495
Address: 6/12 Muston St Mosman NSW 2088 Australia