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Charlotte Morson

The Pitfalls of Section 193 of the Uniform Law

Updated: Aug 17, 2023



As solicitors, we all have those matters that go on for years, sometimes they eventually resolve and sometimes they don’t. We may issue bills to clients monthly and they may be paid happily and on time. Until suddenly they are not.


Bills that are given to a client that cover only part of the legal services the law practice was retained to provide are known as Interim Bills under the Legal Profession Uniform Law (NSW) 2014.

Whilst a matter is in progress, unpaid bills are rare. Clients normally pay on time as they can see the matter progressing and leading towards the outcome they desire. However, once a matter concludes, if the outcome was not favourable for the client (or even if it was) the client “suddenly” has less money on hand, needs more time to pay, “forgot” about the invoice. It is sadly a common theme.


Your original bills may have been issued and happily paid 3 years ago. The funds paid have long gone to your costs of running a practice:- rent, staff salaries, bills. Normally there is a 12 month limitation to a client or law firm seeking to have the bills assessed (with discretion available on application by the client, third party payer, or costs assessor)


However, section 193(2) of the Uniform Law enables a client (or the law firm) to have interim bills assessed either at the time of the interim bill or at the time of the final bill, whether or not the interim bill has previously been assessed or paid (or is outside of the 12 month limitation period). What this means is that your final bill may be only $20,000, but if you seek to have it assessed in order to recover the unpaid fee, the client is able to join all the previously paid bills to the costs assessment. In this case, the already paid fees (that are long gone) are now subject to costs assessment.


Don’t stress. We can help! As long as your bills are fair and reasonable and you have made disclosure to the client in accordance with the Uniform Law costs disclosure provisions, your fees won’t be greatly affected by costs assessment. In fact, a bill of costs (with all costs including those previously waived upon prompt payment or in good will) is often higher than your bills and this will hopefully deter your client from joining all previously paid invoices to the costs assessment.


If you are in this position, or to ensure that you aren’t at risk by reason of s193 of the Uniform Law, please call us on 02 9054 3180 to see how we can help.

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