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The costs conundrum (2)

19 April 2012 / William Gibson
Issue: 7510 / Categories: Features , Procedure & practice , Costs
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In the second article in a special NLJ costs series, William Gibson revisits estimates

Under the Guide to the Professional Conduct of Solicitors (1999) there was a positive requirement, within Practice Rule 15 of the Solicitors Cost Information and Client Care Code, for clients to be given the best possible estimate, for estimates to be confirmed in writing and not exceeded without prior warning. The courts upheld this latter requirement, most prominently in Wong v Vizards [1997] 2 Costs LR 46 and Anthony v Ellis & Fairbairn [2006] 2 Costs LR 277 but also in later cases. In both of those matters solicitors were allowed the estimated figures, together with a percentage increase to allow for contingencies. However, in Mastercigars Direct Ltd v Withers LLP [2007] EWHC 2733 (Ch), [2008] 3 All ER 417, Morgan J. considered that those two decisions, and two later rulings in the Court of Appeal, did not create authority giving a solicitor an automatic right to add a

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