Legal costs cannot be recovered unless bill has been served
324 Legal costs cannot be recovered unless bill has been served
(1) A law practice must not start legal proceedings to recover legal costs from a person until at least 30 days after the law practice has given a bill to the person under sections 325 and 326.
(2) A court of competent jurisdiction may make an order authorising a law practice to start legal proceedings against a person sooner if satisfied:
(a) the law practice has given a bill to the person under sections 325 and 326; and
the person is about to leave this jurisdiction.
(3) A court or tribunal before which any proceedings are brought in contravention of subsection (1) must stay those proceedings on the application of a party, or on its own initiative.
(4) This section applies whether or not the legal costs are the subject of a costs agreement.
This Act’s bill:Explanatory statementSecond reading speech
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