Cost agreement compliance check
A non-compliant costs agreement can be set aside, exposing the firm to assessment on a scale. This checklist walks through the compliance audit.
This is a 12-step compliance check for NSW costs agreements. It audits whether the agreement complies with the Uniform Law disclosure and form requirements.
The checklist
Confirm the form is written
Written or evidenced in writing and signed, or accepted in writing.
Confirm disclosure was made before acceptance
Costs disclosure must be made before or at the time of acceptance.
Check estimate quality
Estimate must be a total or a range with reasonable assumptions.
Check disbursement disclosure
Counsel, experts and disbursements must be disclosed separately.
Check cost updates
When the estimate changes materially, a revised disclosure must be issued.
Check uplift compliance
Any uplift must comply with the Uniform Law cap. No uplift in family law matters.
Check cooling off on conditional agreements
Conditional agreements have a 5 business day cooling off period.
Check right to assessment notice
The agreement must refer to the client's right to a costs assessment.
Check scope definition
Scope must be clear and carve-outs reasonable.
Check billing frequency compliance
Billing must comply with the agreement and be no more frequent than monthly without agreement.
Check retainer termination provisions
Termination provisions must comply with the ASCR and the Uniform Law.
Check signed or written acceptance was recorded
Record of signed or written acceptance must be retained on the file.
When this checklist applies
Use this checklist when auditing a file at close, when a dispute arises, or when preparing for a costs assessment.
Common pitfalls
- Disclosure issued after work began
- Estimate vague or open-ended
- Uplift where not permitted
- Cooling off not offered
- No evidence of acceptance
Run this checklist on a real matter
Quillio audits costs agreements and generates compliance reports in current NSW format. See /practice-areas/commercial-lawyers.
This checklist is a general guide. Always follow the current Uniform Law and Rules.
Use this checklist on your matter.
Quillio can run this checklist on a specific NSW conveyancing matter — confirm each item, calculate adjustments, and generate the supporting documents. The free trial requires no credit card.
Start your free trial