Higgins & Co Lawyers Ltd v Evans [2019] EWHC 2809 (QB) (24 October 2019)

Higgins & Co Lawyers Ltd v Evans [2019] EWHC 2809 (QB) (24 October 2019)

The 'death clause' in the Law Society Model CFA is not void or unenforceable merely because it is unusual or onerous; where a client signs a contract, the Interfoto principle does not prevent incorporation of such a clause unless there is evidence of improper conduct or extreme circumstances. The clause entitles the firm to recover basic charges from the estate upon death, uncapped by damages, and is enforceable.

Citation
[2019] EWHC 2809 (QB)
Parties
Claimant: Higgins & Co Lawyers Ltd; Defendant: Evans
Jurisdiction
England and Wales
Judgment Date
24 October 2019
Procedural Posture
Appeal From Solicitor Client Costs Assessment / High Court Appeal Judgment
Outcome
Appeal allowed; Master's order set aside
Legal Topics
Conditional Fee Agreements, Enforceability of Contractual Terms, Onerous Clauses, Consumer Rights Act 2015, Interfoto Principle
Contract Law Costs Law Consumer Law Conditional Fee Agreements Enforceability of Contractual Terms Onerous Clauses Consumer Rights Act 2015 Interfoto Principle

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Parties

Higgins & Co Lawyers Ltd

Claimant

Evans

Defendant

Procedural Posture

Appeal From Solicitor Client Costs Assessment / High Court Appeal Judgment

Legal Issues

  1. 1 Whether the 'death clause' in the Law Society Model Conditional Fee Agreement is enforceable against the estate of a deceased client
  2. 2 Whether the clause is unusual and onerous and was brought fairly to the attention of the client
  3. 3 Proper construction of the CFA regarding quantification and timing of costs liability

Ratio Decidendi

The 'death clause' in the Law Society Model CFA is not void or unenforceable merely because it is unusual or onerous; where a client signs a contract, the Interfoto principle does not prevent incorporation of such a clause unless there is evidence of improper conduct or extreme circumstances. The clause entitles the firm to recover basic charges from the estate upon death, uncapped by damages, and is enforceable.

Court Disposition

Appeal allowed; Master's order set aside

Orders

  • The 'death clause' is enforceable against the estate; Higgins & Co Lawyers Ltd entitled to recover basic charges up to the date of death from the estate.
  • Bill of costs to be reassessed on this basis.