Home » Posts tagged 'Lawyers'
Tag Archives: Lawyers
Why are lawyers so expensive?
Most complaints about lawyers concern how high their legal fees are. The professional fees charged by lawyers are notorious. When many clients earn an average of $20-40 per hour, it can seem unfair that your lawyers charge you hundreds of dollars per hour. However, as this article will demonstrate, there are reasons why legal fees are so high.
Operating Costs
The main reason legal fees are so high is because it costs a lot of money to lawfully run and operate a law firm. Law firms incur all of the costs normally associated with operating an office (rent, wages, photocopy leases, furniture, power, stationary, paper, ink, tax etc). Inner city law firms pay massive amounts of rent and of course this cost gets passed onto you. Additionally, there are extra costs that law firms have to pay, mainly because the legal profession is so highly regulated.
In addition to normal business costs, lawyers also incur the following costs:
Professional indemnity insurance – this is liability insurance that all law practices are required to have. The costs of this depends on the size of the practice, but it is invariably expensive. This insurance is ultimately to the clients’ benefit, as it ensures that in cases where lawyers make mistakes, clients can be compensated for this.
Practicing certificate fees – lawyers also must pay thousands of dollars every year to the Law Society in order to renew their practicing certificates. The cost of a practicing certificate depends on the type of certificate which is granted. Included in the cost of a practicing certificate is a fidelity fund contribution fee of several hundred dollars in order to reimburse clients who are defrauded of money by a small number of unscrupulous members of the profession.
Continuing Professional Development – every year, lawyers are required to complete 10 points CPD as part of their continuing legal education. This typically costs thousands of dollars per practitioner as the seminars/courses that must be attended or undertaken are rather dear. Lawyers can be severely disciplined for not complying with the above requirements. Because a solicitor’s time is worth a lot of money, the monies spent on CPD are arguably small compared to the time expended on CPD which could be used on chargeable activities.
Trust account expenses – most firms hold at least one trust account, which is a bank account where monies which do not belong to the firm are deposited. Examples of trust monies include funds used for paying house deposits or outlays, and monies paid upfront by clients or third party payers on account of the firm’s professional fees. Firms have to pay for annual external audits of their trust accounts, which usually cost a minimum of $1,500. Firms also have to deposit 2/3 of the lowest balance held in their general trust account of the previous year into a separate account. In addition, firms can be audited by the Queensland Law Society, with the costs of such audit being passed onto them. And of course, banks impose monthly account keeping and other fees on solicitors’ trust accounts. Finally, the costs of keeping and maintaining records, including trust accounting software and the time spent by members of the firm also add up.
As a result, the financial costs of practicing law are enormous. There are however other reasons why legal fees are high.
Full story:
https://sterlinglawqld.com/why-are-lawyers-so-expensive/
The case law of lawyers bills in England, India, Australia, Singapore and Hong Kong
For a very long time in Commonwealth legal systems, the legal profession has been regulated for the benefit of clients of lawyers and the public at large. Among other things, there has been a recognised public interest in protecting those liable to pay legal fees from overcharging by lawyers. One of those protections is and has been the legal requirement for a bill to be provided so that the client can seek advice on the fees and charges.
As a result, one of the many modern obligations that lawyers in English legal systems have to comply with in the course of legal practice is to provide clients and any other persons liable for their fees with proper bills before such persons can be liable for or sued for such fees.
Full story: https://sterlinglawqld.com/the-case-law-of-lawyers-bills-in-england-india-australia-singapore-and-hong-kong/
Christian Porter loses appeal from restraint on Sue Chrysanthou SC
Former Attorney General Christian Porter has lost his appeal of a restraint against Defamation specialist Sue Chrysanthou SC representing him in his claim against the ABC.
Justice Thawley had ruled that there was a potential conflict of interest and the integrity of the judicial process and the due administration of justice required Ms Chrysanthou to be restrained. Furthermore, whilst Ms Chrysanthou had given evidence she did not recall any confidential information and that she no longer had emails received in connection with the meeting, Justice Thawley held that:
“However recollections are liable to being revived and there is nevertheless a risk of subconscious use of confidential information”
Full story: https://sterlinglawqld.com/christian-porter-loses-appeal-from-restraint-on-sue-chrysanthou-sc/
British barrister beats woke Bar Standards Board
In 2021, British barrister Jon Holbrook was investigated by the Bar Standards Board (BSB) over a series of social-media posts. 17 were thrown out. It decided that one of the 18 tweets in question constituted a breach of professional conduct.
The tweet he got into trouble for was as follows:
“Free speech is dying and Islamists and other Muslims are playing a central role. Who will lead the struggle to reinstate free speech as the foundation of all other freedoms?”
The Bar Tribunals and Adjudication Service initially found that Holbrook had breached duty five of its handbook:
“you must not behave in a way which is likely to diminish the trust and confidence which the public places in you or in the profession”.
Having already been thrown out of his chambers, he was sanctioned by the BSB and fined £500.
Holbrook appealed the decision on the following grounds:
1. under the Equality Act 2010 which protects ‘philosophical belief’
2. under the common law and human rights law that protects speech
3. because the charge of causing offence and possible hostility towards Muslims:
a) sets the bar far too low for bringing either me or the profession into disrepute
b) is not set out in the BSB Handbook, is ultra vires and is not prescribed by law
c) breached natural justice as I was given no chance to respond to this new charge
4. because the procedure breached my right to a fair trial under article 6 of the ECHR and common law.
The appeal panel decided that Holbrook’s tweet had not breached this duty, and ruled that the tweet was not “seriously offensive or seriously discreditable within the terms of the handbook guidance”.
Full story: https://sterlinglawqld.com/british-barrister-beats-woke-bar-standards-board/
Money Money Money
Victorian man Neville Austin, 44, is planning to launch Victoria’s first stolen generation claim.
His solicitors have briefed barrister Jack Rush QC, who was part of the legal team that won a $4 billion payout from James Hardie Industries for former workers exposed to lethal doses of asbestos.
But the head of Stolen Generations Victoria and Mr Austin’s cousin, Lyn Austin, said while she could not comment on Mr Austin’s case, dozens more were preparing similar claims.
“I cannot make comment on that case at all, but … I do know that there are another 30 or 40 that are going to be doing a civil action claim,” she told ABC Radio in Melbourne.
“They have a right to pursue a claim if they wish, they were removed through the policies that were upon them.”
Ms Austin said it was a person’s prerogative to take civil action if they wished.
“It should be left for the courts and people to have that choice and make a choice of whether they take a civil claim individually or class action,” she said.
Mr Austin’s writ is yet to be filed with the court and does not nominate a payout figure, but claimants in other states have won between $350,000 and $500,000.
Iain Hall's SANDPIT 