The court allowed a solicitor’s statutory demand to lie despite the debtors’ argument based on the right to taxation of the underlying bill. ‘Solicitors would be placed in an intolerable position if no statutory demand could be served as long as it was open to the client to apply for taxation.’ and, for completeness: ‘there is nothing to prevent [the debtors] from now applying for leave to tax the bill. If leave is given and the bill is taxed down, they will be entitled to repayment of an excess over the amount of the taxed bill which they have paid. What they cannot do is to defer paying any substantial part of the bill until the process of applying for leave and, if leave is granted, taxing the bill as being completed.’
Judges:
Vinelott J
Citations:
[1994] NPC 82
Jurisdiction:
England and Wales
Cited by:
Cited – Truex v Toll ChD 6-Mar-2009
The bankrupt appealed against an order in bankruptcy made against her on application by her former solicitors in respect of their unpaid costs. The bankrupt said that since the bill was yet untaxed, it might be altered and could not base a statutory . .
Lists of cited by and citing cases may be incomplete.
Insolvency, Legal Professions
Updated: 01 July 2022; Ref: scu.317858
