Waldemar Drexler t/as Drexler & Partners Litigation Lawyers v Karabay & Ors [2014] NSWSC 1863

Waldemar Drexler t/as Drexler & Partners Litigation Lawyers v Karabay & Ors [2014] NSWSC 1863

The three firms of solicitors (Drexler & Partners, Mr Pain, Mr Kramer) are entitled to a lien over the funds paid into Court for the amount of their properly payable costs and expenses, notwithstanding that costs have not yet been assessed or detailed bills rendered, so long as a sufficient causal link exists between the work done and the fund. The quantum of costs must be determined by assessment under the Legal Profession Act 2004 (NSW). No payment out of the Court fund should occur until those assessments are complete.

Jurisdiction
Australia
Judgment Date
10 December 2014
Procedural Posture
Equity Proceedings / Post Trial Determination of Costs and Distribution of Funds Paid Into Court
Outcome
Declarations made of entitlement to lien; orders as to costs; no dismissal or final payment out until assessment of costs.
Legal Topics
['supreme Court Procedure Power to Deal With Moneys Paid Into Court' 'lawyers Liens Fruits of Litigation Lien' 'costs Assessment Under Legal Profession Act 2004 (nsw)']
['procedure' 'professions and Trades'] ['supreme Court Procedure Power to Deal With Moneys Paid Into Court' 'lawyers Liens Fruits of Litigation Lien' 'costs Assessment Under Legal Profession Act 2004 (nsw)']

Case Brief

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Procedural Posture

Equity Proceedings / Post Trial Determination of Costs and Distribution of Funds Paid Into Court

Legal Issues

  1. 1 ['Whether multiple solicitors are entitled to an equitable lien (fruits of litigation lien) over funds paid into Court for costs incurred in acting for a client in successive proceedings' 'Whether failure to disclose estimated costs or to render detailed bills disentitles solicitors to a lien over moneys recovered' 'Whether assessment of costs should be by official assessment pursuant to Legal Profession Act 2004 (NSW) or by a referee']

Ratio Decidendi

The three firms of solicitors (Drexler & Partners, Mr Pain, Mr Kramer) are entitled to a lien over the funds paid into Court for the amount of their properly payable costs and expenses, notwithstanding that costs have not yet been assessed or detailed bills rendered, so long as a sufficient causal link exists between the work done and the fund. The quantum of costs must be determined by assessment under the Legal Profession Act 2004 (NSW). No payment out of the Court fund should occur until those assessments are complete.

Court Disposition

Declarations made of entitlement to lien; orders as to costs; no dismissal or final payment out until assessment of costs.

Orders

  • ['Direct the parties to bring in short minutes of order in accordance with the reasons.' 'Make no order as to costs as between the plaintiffs and the sixth defendant.' 'Order that the first defendant pay the costs of the plaintiffs and of the second to fifth defendants.' 'Order that the proceedings against the...