[2018] KEHC 8341 (KLR)
The court held that the applicant was entitled to interest at 14% per annum on the taxed costs, as provided by Rule 7 of the Advocates Remuneration Order. Since there was no evidence of the actual date of service of the bill of costs, the court adopted 16.12.15 as the date of service, being the date the respondent's...
Source-derived case information.
- Citation
- [2018] KEHC 8341 (KLR)
- Parties
- Applicant: Otieno, Ragot & Company Advocates; Respondent: Kenindia Assurance Company Limited
- Court
- High Court
- Court Station
- High Court at Kisumu
- Jurisdiction
- Kenya
- Case Number
- Miscellaneous Civil Application 338 of 2015
- Procedural Posture
- Miscellaneous Application / Judgment
- Outcome
- Application allowed in part; interest on taxed costs awarded.
- Judges
- TW Cherere
- Legal Topics
- Taxation of Costs, Advocate Client Bill, Interest on Costs
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Otieno, Ragot & Company Advocates
Applicant
Kenindia Assurance Company Limited
Respondent
Procedural Posture
Miscellaneous Application / Judgment
Legal Issues
- 1 Whether the applicant is entitled to interest on the taxed costs under Rule 7 of the Advocates Remuneration Order.
- 2 From which date should interest on the taxed costs accrue.
Ratio Decidendi
The court held that the applicant was entitled to interest at 14% per annum on the taxed costs, as provided by Rule 7 of the Advocates Remuneration Order. Since there was no evidence of the actual date of service of the bill of costs, the court adopted 16.12.15 as the date of service, being the date the respondent's advocates entered appearance. Accordingly, interest was to accrue from 15.1.16, being thirty days after the presumed date of service, until payment in full. The court also awarded the costs of the application to the applicant.
Court Disposition
Application allowed in part; interest on taxed costs awarded.
Orders
- Interest at 14% per annum shall accrue on the taxed costs from 15.1.16 until payment in full.
- The applicant is awarded the costs of the application.
Full Case Text
Judgment text and source record
19 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT KISUMU
MISC. CIVIL APPLICATION NO 338 OF 2015
OTIENO, RAGOT & COMPANY ADVOCATES.............APPLICANT/ADVOCATE
VERSUS
KENINDIA ASSURANCE COMPANY LIMITED..............RESPONDENT/CLIENT
JUDGMENT
1. When the applicant’s notice of 29. 11. 17 came up for hearing up for hearing on 16. 1.18 for hearing, the court was informed that the taxed costs in the sum of Kshs. 98,971. 60 was settled in full by a cheque issued on 6. 12. 17 and forwarded to the applicant by a letter dated 15. 12. 17.
2. The payment does not appear to have taken care of the interest sought in the application.I have considered the provisions of Rule 7 of the Advocates Remuneration Order which provides: -
“An advocate may charge interest at 14% per annum on his disbursements and costs, whether by scale or otherwise, from the expiration of one month from the delivery of his bill to the client, providing such claim for interest is raised before the amount of the bill has been paid or tendered in full.”
3. The rate of interest awardable is applicable from 30 days after the date of service of the Bill of Costs. There is no evidence to show when the bill of costs was served by the firm of M/S Okong’oWandago& Company entered appearance for the respondent on 16. 12. 16. In the absence of any other evidence, I shall adopt 16. 12. 15 as the date of service of the bill of costs. Consequently, (30) days from the delivery of the bill to the client expired on 15. 1.16 and not 10. 1.16 as prayed in the application.
4. The upshot of this is that interest shall accrue on the taxed costs at 14% per annum from 15. 1.16 until payment in full. The Advocate will also have the costs of the application.
DATED AND DELIVERED ON THIS15thDAY OFFebruary2018
T.W. CHERERE
JUDGE
Read in open court in the presence of-
Court Assistants - Felix and Carol
Applicant - Mr Ondego/Ragot
Respondent - Ms Nyamite