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GAZETTE

V I

E W P 0 I N T

NOVEMBER 1994

Cour t Re f o rm - One St ep Forwa rd,

Two St eps Backwa rd

Wh i le the L aw Society, quite rightly,

we l c omed many of the reforms

proposed in the Courts and Court

Officers Bill recently published there

was, at the end of the day, not much

j oy in the Bill for practising solicitors.

The good news is that solicitors will

now be eligible for appointment to the

Circuit Court bench - though, sadly,

not to the higher courts - and the

President of the L aw Society will in

future have a role in the nomination of

candidates for appointment to judicial

office in all the courts. The

establishment of the new Court of

Appeal, which will have a civil as

well as a criminal jurisdiction, is also

to be we l c omed and, when account is

taken of the recent announcement by

the Ta o i s e a ch of the proposed

appointment of additional judges to

the District, Circuit and High Courts,

it is to be expected that there will, in

due course, be a considerable

speeding-up in the civil work of the

courts. The L aw Society has also

given a cautious we l c ome to the

proposal to establish a Courts

Commi s s i on provided that the

Commi s s i on is comprised, in addition

to judges, of lay persons with proven

administrative ability and managerial

skills and that it is given the necessary

administrative support at senior

ma n a g eme nt level to enable it to carry

out its functions effectively. Wh e t h er

or not this will be the c a se remains to

be seen as the Bill provides only an

enabling power for the Minister to

appoint the Commi s s i o n.

The provision that has caused the

most serious disquiet in the legal

profession is that contained in the

very final section of the Bill - Section

4 3 - under which the Minister has

taken unto herself a power to

prescribe appropriate scales of

solicitors' costs and counsels' fees in

the District Court, Circuit Court and

in the higher courts. This power will

operate in c i r c ums t a n c es where the

relevant rule-making authority is

requested by the Minister to submit

for the Minister's c on c u r r e n ce rules

governing costs and either fails to do

so within three months or submits

rules containing scales that are, in the

Minister's opinion, e x c e s s i v e. In our

view, this is a most retrograde step.

Given the developments in relation to

legal remuneration o v er the years and

especially the provisions contained in

the Solicitors ( Ame n dme n t) Act,

1 9 9 4, this can only be described as an

extraordinary provision. The Minister

is sending a clear signal to the rule-

making c ommi t t e es of the courts and

to the legal profession as a whole that

she intends, once again, to introduce

scale fees with rigid controls on party

and party costs in litigation.

It is now over twenty years since party

and party costs were last prescribed by

statutory instrument. Many people,

even then, considered that such legal

controls were inappropriate but, of

course, great changes have occurred

throughout our e c o n omy since the

early 7 0 ' s and the Minister's current

proposals run totally counter to the

prevailing ethos of freedom of

contract - which surely applies to

solicitors as well as to others - under

which appropriate fees can be

negotiated on a c a s e - b y - c a se basis

having regard to the work done. The

mo ve is also, of course, totally at

variance with the rules of modern

competition policy. Mo r e o v e r, in a

situation in which the reasonableness

of solicitors' c h a r g es can be assessed

by an independent taxing master in the

courts and in which, consequent on

provisions in the Solicitors

( Ame n dme n t) Act, 1 9 9 4, solicitors

must notify their clients in a dv a n ce

about the level or basis of their

charges and the L aw Society is

required to deal with complaints about

e x c e s s i ve costs, this latest provision

will be seen as an attempt by the

Minister to 'bully' the rule-making

c ommi t t e es into submission. How,

may we ask, is the Minister in a

position to substitute her views for

those of the court experts on what are

appropriate levels of solicitors' fees?

We would challenge the right of any

Minister or ministerial advisor to say

what is or is not an appropriate level

of remuneration for a solicitor in

litigation in our courts. It should be

pointed out that, in drawing a formal

bill of costs in the Circuit and higher

courts, the main item of remuneration

for a solicitor is the

'instructions

fee'

which is a discretionary fee that

depends on matters concerned with

the c omp l e x i ty of the c a se and the

importance of the case to the client. It

is in fact the fee that rewards a

solicitor for his work. Is the Minister

going to attempt to control a fee that

is discretionary and must, of

necessity, vary from case to c a s e?

In this and other respects, this Bill

bears striking evidence of having been

put together in a very rushed fashion

without having been properly thought

out. This is no way to deal with

reform of our courts and the

administration of our legal system.

Undoubtedly, more will be heard of

this.

I R I S H

D O C U M E N T

E X C H A N G E

O V E R N I G H T - E V E R Y N I G H T

E V E R Y W H E R E

How do

you send

your post?

37 Fcnun Sircci, Dublin 2

Tel 01 676 4601

F.ix

01 676 7093

DX I Dublin