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 Legal Profession Act 1976 (Act 166)

PART IX

RECOVERY AND TAXATION OF COSTS

122. Advocate and solicitor defined.

In this Part the expression "advocate and solicitor" includes the executors, administrators and assignees of the advocate and solicitor in question.

123. Advocate and solicitor entitled to charge on property for costs.

Any court in which an advocate and solicitor has been employed to prosecute or defend any suit, matter or proceeding may at any time declare the advocate and solicitor entitled to a charge on the property recovered or preserved in such suit, matter or proceeding for such advocate and solicitor's taxed costs in reference to that suit, matter or proceeding, and may make such orders for the taxation of the costs and for raising money to pay, or for paying, the costs out of the property as it thinks fair and reasonable, and all conveyance and acts done to defeat, or operating to defeat, that charge shall, except in the case of a conveyance to a bone fide purchaser for value without notice, be void as against the advocate and solicitor: Provided that no order shall be made if the right to recover the costs is barred by the Limitation Act, 1953

124. No advocate and solicitor to sue for costs until delivery of bill of costs.

(1) Except as authorized by this Act, no advocate and solicitor shall without the leave of the court commence or maintain any action for the recovery of any costs due for any business done by him until the expiration of one month after he has delivered to the party to be charged therewith, or sent by post to, or left with him at, his office or place of business, dwelling house or last known place of abode, a bill of costs, which bill shall be signed either by the advocate and solicitor, or in the case of a partnership, by any of the partners, either with his own name or with the name or style of the partnership, or by another advocate and solicitor employed by the first-named advocate and solicitor or the partnership, or be enclosed in or accompanied by a letter, signed in the like manner, referring to the bill.

(2) Where a bill is proved to have been delivered in compliance with subsection (1) it shall not be necessary in the first instance for the advocate and solicitor to prove the contents of the bill and it shall be presumed until the contrary is shown to be a bill bona fide complying with this Act.

125. Power of court to authorize solicitor to commence action.

The Court may authorize an advocate and solicitor to commence an action for recovery of his costs and also refer his bill of costs for taxation by the Registrar, although one month has not expired from the delivery of the bill, upon proof to its satisfaction that any party chargeable therewith is about to quit Malaysia, or to have a receiving order made against him, or to compound with his creditors or to take any other steps or do any other act which in its opinion would tend to defeat or delay the advocate and solicitor in obtaining payment.

126. An order for taxation of costs to be made within 6 months of delivery of bill of costs;

(1) An order for the taxation of a bill of costs delivered by any advocate and solicitor may be obtained by a petition as a matter of course by the party chargeable therewith, or by any person liable to pay the cost either to the party chargeable or to the advocate and solicitor, at any time within six months from the delivery of the bill, or, by the advocate and solicitor after the expiration of one calendar month, and within a year from the delivery.

(2) The order shall contain such directions and conditions as the court thinks proper, and any party aggrieved by any order of Court may apply by summons in chambers that the same may be amended or varied or set aside.

(3) In any case where an advocate and solicitor and his client consent to taxation of a solicitor's bill the Registrar may proceed is no order therefor.

127. The cost of obtaining an order for taxation.

The costs of obtaining an order for taxation of costs, including the petition order and service of order, other than any court fees payable thereon or disbursements, if the order is obtained by consent by the advocate and solicitor of either party shall be the sum of twenty-five Ringgit: Provided that if one of the parties does not consent to taxation the cost of obtaining an order of court shall be the sum of one hundred and fifty Ringgit.

128. Order for taxation of advocate and solicitor's bill on notice given.

(1) After the expiration of six months from the delivery of a bill of costs, or after payment of the bill of costs, no order shall be made for taxation of a solicitor's bill of costs, except upon notice to the advocates and solicitors and under special circumstances to be proved to the satisfaction of the Court.

(2) No such order for taxation shall in any event be made after the expiry of one year from the delivery of the bill of costs.

129. Petition by party liable for a bill of costs.

All petitions by a party chargeable with or liable for a bill of costs shall, unless the same has been already paid, contain a submission by the party to pay the amount of the bill of costs to the advocate and solicitor when taxed.

130. Order for delivery of solicitor's bill of costs by way of petition.

(1) An order for the delivery of a solicitor's bill of costs, and for delivery up of any deeds, documents or other papers in the possession of the advocate and solicitor may, subject to any lien which such advocate and solicitor may have, and for the taxation of the bill when delivered, be obtained on a petition of course.

(2) Upon the petition being filed, the Registrar shall mark the order thereon forthwith, and draw up the order if necessary.

(3) Subject to this section, the Court shall have the like jurisdiction as the High Court in England to make an order under subsection (1)

131. Court may order advocate and solicitor to deliver copy of bill to applicant.

When application is made by a party other than the party chargeable, the Court may order the advocate and solicitor to deliver to the party making the application a copy of the bill, upon payment of the costs of making the copy.

132. Bill of costs to follow Rules of court.

Bills of costs for taxation as between advocate and solicitor and client shall be drawn in the manner provided by the Rules of the High Court, and the taxation shall be governed by the Rules.

133. Registrar may allow interest on money disbursed by counsel.

The Registrar may allow interest at any rate and from any time as he thinks fair and reasonable on moneys disbursed by an advocate and solicitor for his client, and on moneys of the client in the hands of the advocate and solicitor and improperly retained by

134. Costs of order of taxation payable by solicitor.

(1) In case any order for taxation is made upon the application of the party chargeable or liable, or of the advocate and solicitor, the costs of the order and taxation, except when the order has been made after the expiration of one year, shall be paid according to the event of such taxation-

(a) if the bill when taxed is less by a sixth part than the bill delivered, then the solicitor shall pay the costs;

(b) if the bill when taxed is not less by a sixth part, then the party chargeable or liable, if the application is made by him, or if he attends the taxation, shall pay the costs.

(2) Every order for any reference under section 125 shall direct the Registrar to tax the costs of the reference, and to certify what, upon the reference, is found to be due to or from the advocate and solicitor in respect of the bill, and of the costs of the reference, if payable.

(3) The Registrar shall certify any special circumstances relating to the bill or taxation.

(4) The court may thereupon make any order as it considers fair and reasonable respecting the payment of the costs of such taxation.

(5) Where any such reference is made, but it is otherwise not authorized except under special circumstances, the Court may give any special directions relative to the costs of the reference.

135. Certificate of taxing officer final.

The certificate of the Registrar by whom any bill has been taxed shall, unless it is set aside or altered by the Court, be final as to the amount of the costs covered by such certificate, and the Court may make any order in relation to the certificate it considers fair and reasonable, including, in a case where the retainer is not disputed, an order that judgment be entered for the sum certified to be due with costs.

136. Right of Government to costs unaffected.

Nothing in this Act shall affect the right, which is hereby declared, of the Government when represented by any of the persons mentioned in section 35(2) (a) to recover costs awarded to it in or respecting any cause or matter, and in any such cause or matter the costs of the Government shall be taxed in accordance with any rules in force for the time being for the taxation of the fees and costs of advocates and solicitors as if an advocate and solicitor of the High Court who is not in the service of the Government had appeared on behalf of the Government.


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