QLDIn ForceAct
Legal Profession Act 2007
sec.322Making costs agreements
Start here
Get a plain-English read of sec.322
Turn the raw legal text into a practical explanation grounded in Legal Profession Act 2007.
### sec.322 Making costs agreements
A costs agreement may be made between—
a client and a law practice retained by the client; or
a client and a law practice retained on behalf of the client by another law practice; or
a law practice and another law practice that retained that law practice on behalf of a client; or
a law practice and an associated third party payer.
The costs agreement must be written or evidenced in writing.
The costs agreement may consist of a written offer under subsection (4) that is accepted in writing or by other conduct.
Acceptance by other conduct is not permitted for conditional costs agreements—see section 323 (3) (c) (i) .
The offer must clearly state—
that it is an offer to enter into a costs agreement; and
that the offer can be accepted in writing or by other conduct; and
the type of conduct that will constitute acceptance.
Except as provided by section 344 , a costs agreement can not provide that the legal costs to which it relates are not subject to costs assessment under division 7 .
Under section 327 (1) , if a costs agreement attempts to provide that the legal costs are not subject to a costs assessment, the costs agreement will be void.
A reference in section 328 , or in a provision of this part prescribed under a regulation, to a client is, in relation to a costs agreement that is entered into between a law practice and an associated third party payer as mentioned in subsection (1) (d) and to which a client of the law practice is not a party, a reference to the associated third party payer.
(sec.322-ssec.1) A costs agreement may be made between— a client and a law practice retained by the client; or a client and a law practice retained on behalf of the client by another law practice; or a law practice and another law practice that retained that law practice on behalf of a client; or a law practice and an associated third party payer.
(sec.322-ssec.2) The costs agreement must be written or evidenced in writing.
(sec.322-ssec.3) The costs agreement may consist of a written offer under subsection (4) that is accepted in writing or by other conduct. Acceptance by other conduct is not permitted for conditional costs agreements—see section 323 (3) (c) (i) .
(sec.322-ssec.4) The offer must clearly state— that it is an offer to enter into a costs agreement; and that the offer can be accepted in writing or by other conduct; and the type of conduct that will constitute acceptance.
(sec.322-ssec.5) Except as provided by section 344 , a costs agreement can not provide that the legal costs to which it relates are not subject to costs assessment under division 7 . Under section 327 (1) , if a costs agreement attempts to provide that the legal costs are not subject to a costs assessment, the costs agreement will be void.
(sec.322-ssec.6) A reference in section 328 , or in a provision of this part prescribed under a regulation, to a client is, in relation to a costs agreement that is entered into between a law practice and an associated third party payer as mentioned in subsection (1) (d) and to which a client of the law practice is not a party, a reference to the associated third party payer.
- (a) a client and a law practice retained by the client; or
- (b) a client and a law practice retained on behalf of the client by another law practice; or
- (c) a law practice and another law practice that retained that law practice on behalf of a client; or
- (d) a law practice and an associated third party payer.
- (a) that it is an offer to enter into a costs agreement; and
- (b) that the offer can be accepted in writing or by other conduct; and
- (c) the type of conduct that will constitute acceptance.