The first annual report of the Office of the Legal Cost Adjudicators shows that 62% of the cases dealt with in the final three months of last year were settled between the parties.

The total claimed in these 374 cases was just under €47.5 million, with €13.5 million of this linked to 40 medical negligence cases, and just over €8 million associated with road traffic accidents.

A total of 28% of cases were adjourned.

Determined

In all, 9% of cases were determined by the office. In these 55 cases, 64% of the amount claimed was allowed. This meant that costs were reduced from the €9.2 million claimed to just under €5.9 million. Of that amount, €3 million was linked to a Commercial Court case.

The annual report stressed, however, that this did not mean that 36% of the costs claimed were unreasonable, as there were many other reasons why costs incurred might not be recovered.

The report covers the period from 7 October last year, when the new Office of the Legal Costs Adjudicators was set up, replacing the Office of the Taxing Master, from which it inherited just over 600 cases.

The office deals with disputes on legal costs between parties involved in litigation in the superior courts, as well as other issues, such as disputes relating to costs between legal practitioners and their clients.

Transparent

The office was established under the Legal Services Regulation Act 2015 with the aim of modernising the system of determining legal costs and making the process more transparent.

The office makes details of its key determinations publicly available in the Register of Legal Costs Determinations. It has also introduced online filing of applications for adjudications.

Chief Legal Costs Adjudicator Paul Behan said the new online facilities would yield benefits for legal costs accountants, practitioners and members of the public. During the period, Niall O’Hanlon was appointed as an adjudicator. A third adjudicator is expected to be appointed this year.

Courts Service Chief Executive Angela Denning said the office was now making a very significant contribution to providing clarity to litigants on the subject of legal fees.