Commonwealth Consolidated Regulations

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FEDERAL COURT RULES 2011 - RULE 40.07

Liability of lawyer to their client for misconduct

             (1)  A party who has reasonable cause to believe that additional costs have been incurred because of the party's lawyer's misconduct, may apply to the Court for an order:

                     (a)  that the whole or part of the costs as between the lawyer and the party be disallowed; or

                     (b)  if the lawyer is a barrister--that the whole or part of the costs as between the barrister and the barrister's instructing lawyer be disallowed; or

                     (c)  that the lawyer pay to the party costs that the party has been ordered to pay to another party; or

                     (d)  that the lawyer indemnify any other party against any costs payable by that party.

             (2)  For this rule, a lawyer has engaged in misconduct if:

                     (a)  a proceeding or an application is delayed, adjourned or abandoned because of the lawyer's failure:

                              (i)  to attend or make arrangements for a proper representative to attend a hearing; or

                             (ii)  to file a relevant document; or

                            (iii)  to provide the Court or another party with a relevant document; or

                            (iv)  to be prepared for a hearing; or

                             (v)  to comply with these rules or an order of the Court; or

                     (b)  the lawyer:

                              (i)  incurs costs improperly or without reasonable cause; or

                             (ii)  incurs costs that are unnecessary or wasteful; or

                            (iii)  is guilty of undue delay.

Note 1:       Lawyer is defined in the Dictionary.

Note 2:       For the duty of a party's lawyer to assist the party to conduct proceedings in accordance with the overarching purpose of the Act, see section 37N(2) of the Act.

Note 3:       For the power of the Court to order a lawyer to pay costs if the lawyer fails to comply with the duty under section 37N(2) of the Act, see section 37N(4) of the Act.



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