Ho Cheng Lay v Low Yong Sen: Taxation of Solicitor's Bill of Costs After Payment
In Ho Cheng Lay v Low Yong Sen, the High Court of Singapore heard an application by Ho Cheng Lay for the taxation of five bills of costs presented by his former solicitor, Low Yong Sen. The court, presided over by Kan Ting Chiu J, granted the application, finding that special circumstances existed to allow taxation despite the expiration of the 12-month period stipulated in s 122 of the Legal Profession Act. The court found that the bills were deficient in content, the defendant overcharged the plaintiff, and the defendant paid the bills without the plaintiff's consent.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Application granted.
1.3 Case Type
Civil
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Application for taxation of solicitor's bill of costs after payment. The court allowed the application due to special circumstances.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Ho Cheng Lay | Plaintiff | Individual | Application granted | Won | Lee Chin Seon |
| Low Yong Sen | Defendant | Individual | Application dismissed | Lost | P Padman |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Kan Ting Chiu | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Lee Chin Seon | C S Lee |
| P Padman | K S Chia Gurdeep & Param |
4. Facts
- Plaintiff engaged the defendant as his solicitor in June 1998 for divorce and other matters.
- Defendant deducted $40,250 from the plaintiff's share of sale proceeds as payment of costs.
- Plaintiff claimed he did not agree to the deduction and requested copies of the bills.
- Disciplinary Committee found the defendant overcharged the plaintiff in five bills.
- The bills lacked particulars and were paid out of sale proceeds without the plaintiff's consent.
- Defendant disposed of the case file, citing Law Society guidelines for retention.
5. Formal Citations
- Ho Cheng Lay v Low Yong Sen, OS 1070/2008, [2009] SGHC 56
6. Timeline
| Date | Event |
|---|---|
| Plaintiff appointed the defendant to act for him in his divorce. | |
| Defendant acted for the plaintiff in Personal Protection Order Proceedings. | |
| Defendant acted for the plaintiff in Criminal Proceedings. | |
| Defendant acted for the plaintiff in Matrimonial Proceedings (Summons-In-Chambers Proceedings). | |
| Defendant acted for the plaintiff in Matrimonial Proceedings (Summons-In-Chambers Proceedings)(Variation of Order of Court dated 19 July 1999). | |
| Plaintiff's divorce proceedings were concluded, and his matrimonial house was sold. | |
| Defendant paid the plaintiff $7,107.86 and retained $40,250.00 as payment of his costs. | |
| Disciplinary Committee proceedings commenced (DC/SEC/05/2004). | |
| Disciplinary Committee delivered its findings. | |
| Plaintiff applied for legal aid. | |
| Legal aid was granted to the plaintiff. | |
| Present application filed on behalf of the plaintiff. | |
| Defendant pleaded prejudice due to disposal of files. | |
| Court granted the plaintiff’s application. |
7. Legal Issues
- Taxation of Solicitor's Bill of Costs
- Outcome: The court found that the bills were deficient in content and had not been paid with the plaintiff's consent, and that special circumstances existed to allow taxation.
- Category: Substantive
- Sub-Issues:
- Sufficiency of particulars in a solicitor's bill
- Payment of bill without client's consent
- Special circumstances for taxation after 12 months
- Limitation Period for Taxation of Costs
- Outcome: The court held that the plaintiff's right to have the bills taxed was not time-barred under s 6 of the Limitation Act or s 122 of the LPA because special circumstances existed.
- Category: Procedural
8. Remedies Sought
- Taxation of Solicitor's Bill of Costs
9. Cause of Actions
- Breach of Contract
- Breach of Trust
10. Practice Areas
- Commercial Litigation
11. Industries
- Legal Services
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| The Law Society of Singapore v Low Yong Sen Vincent | Disciplinary Committee of the Law Society of Singapore | Yes | [2006] SGDSC3 | Singapore | Cited for the Disciplinary Committee's findings that the defendant overcharged the plaintiff and did not have the plaintiff's consent to deduct fees from the sale proceeds. |
| Keene v Ward | Queen's Bench | Yes | (1849) 13 QB 515 | England | Cited for the principle that a client should have sufficient materials for obtaining advice as to taxation when an attorney's bill is delivered. |
| Haigh v Ousey | Queen's Bench | Yes | (1857) 7 E & B 578 | England | Cited for the principle that a bill must disclose sufficient information as to the nature of the charges. |
| Ralph Hume Garry (a firm) v Gwillim | English Court of Appeal | Yes | [2003] 1 WLR 510 | England | Cited for the principles regarding the sufficiency of information in a solicitor's bill for the client to make an informed decision on taxation. |
| In re Jackson | King's Bench | Yes | [1915] KB 371 | England | Cited for the principle that payment requires the knowledge and agreement of both parties, and a solicitor cannot unilaterally apply a client's funds to pay their own debt. |
| Forsinard Estates Ltd v Dykes & Ors | Unknown | Yes | [1971] 1 WLR 232 | England | Cited for the principle that a solicitor cannot pay his own bills out of client's monies without the client's knowledge or approval. |
| In re Boycott | Court of Appeal | Yes | 29 Ch D 571 | England | Cited for the definition of 'special circumstances' as those which appear so special and exceptional as to justify taxation. |
| In re Norman | Queen's Bench Division | Yes | (1886) 16 QBD 673 | England | Cited for adopting the view in In re Boycott regarding the interpretation of 'special circumstances'. |
| Cook v Gillard | Queen's Bench | Yes | (1852) 1 E & B 26 | England | Case cited in Ralph Hume Garry (a firm) v Gwillim. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Legal Profession Act (Cap 161, 2001 Rev Ed) | Singapore |
| Limitation Act (Cap 163, 1996 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Bill of costs
- Taxation
- Special circumstances
- Solicitor's retainer
- Disciplinary Committee
- Legal Profession Act
- Limitation Act
- Payment of bills
- Sale proceeds
- Overcharging
15.2 Keywords
- solicitor
- bill of costs
- taxation
- legal profession
- limitation
- payment
- special circumstances
16. Subjects
- Legal Profession
- Civil Procedure
- Contract Law
17. Areas of Law
- Legal Profession
- Civil Procedure
- Limitation Law