Trunature Ltd v. Scotnet (Note In The Case Of) (1974) Ltd &C [2008] ScotCS CSOH_30 (19 February 2008)

Trunature Ltd v. Scotnet (Note In The Case Of) (1974) Ltd &C [2008] ScotCS CSOH_30 (19 February 2008)

The court held that the additional fee awarded by the Auditor does not result in the pursuers recovering more than they are liable to pay their solicitors, as the additional fee forms part of the expenses the pursuers must pay. The Auditor's discretion in awarding the additional fee was properly exercised, and there was no basis for capping the additional fee to the amount shown in the itemised account. The defenders' objection was therefore repelled.

Citation
[2008] ScotCS CSOH_30
Parties
Pursuer: Trunature Limited; First Defender: Scotnet (1974) Limited; Second Defender: Scobie & Junor (Est. 1919) Limited
Jurisdiction
Scotland
Judgment Date
19 February 2008
Procedural Posture
Intellectual Property Action (expenses Taxation) / Post Judgment, Objection to Auditor's Report on Account of Expenses
Outcome
Defenders' Note of Objections repelled; Auditor's Report upheld.
Legal Topics
Taxation of Costs, Agent and Client Expenses, Additional Fee, Auditor's Discretion
Civil Procedure Costs and Expenses Intellectual Property Taxation of Costs Agent and Client Expenses Additional Fee Auditor's Discretion

Case Brief

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Parties

Trunature Limited

Pursuer

Scotnet (1974) Limited

First Defender

Scobie & Junor (Est. 1919) Limited

Second Defender

Procedural Posture

Intellectual Property Action (expenses Taxation) / Post Judgment, Objection to Auditor's Report on Account of Expenses

Legal Issues

  1. 1 Whether an additional fee awarded on an agent and client, client paying basis can result in the receiving party recovering more than the sum expended on legal expenses
  2. 2 Whether the additional fee should be capped to the amount actually paid or payable by the client to their solicitors

Ratio Decidendi

The court held that the additional fee awarded by the Auditor does not result in the pursuers recovering more than they are liable to pay their solicitors, as the additional fee forms part of the expenses the pursuers must pay. The Auditor's discretion in awarding the additional fee was properly exercised, and there was no basis for capping the additional fee to the amount shown in the itemised account. The defenders' objection was therefore repelled.

Court Disposition

Defenders' Note of Objections repelled; Auditor's Report upheld.

Orders

  • Defenders' objection to Auditor's Report dismissed
  • Pursuers entitled to recover expenses as taxed, including additional fee