25Maximum costs for matters subject to costs agreement

#### 25 Maximum costs for matters subject to costs agreement 25 Maximum costs for matters subject to costs agreement > > (1) Schedule 1 does not apply to costs in a motor accidents matter to the extent that the costs are payable on a practitioner and client basis if— > > > > > (a) an Australian legal practitioner makes a disclosure under Division 3 of Part 4.3 of the [Legal Profession Uniform Law (NSW)](/view/html/inforce/current/act-2014-16a) to a party to the matter with respect to the costs, and > > > > > (b) the practitioner enters into a costs agreement (other than a conditional costs agreement, within the meaning of that Part, that provides for the payment of a premium on the successful outcome of the matter concerned) with that party as to those costs in accordance with Division 4 of that Part, and > > > > > (c) the practitioner, before entering into the costs agreement, advises the party (in a separate written document) that, even if costs are awarded in favour of the party, the party will be liable to pay such amount of the costs provided for in the costs agreement as exceeds the amount that would be payable under the Act in the absence of a costs agreement, and > > > > > (d) the practitioner (but only if the party is a claimant) provides to the Authority, in the manner and time approved by the Authority, a costs breakdown in relation to the claim when the claim is finalised, and > > > > > (e) the amount paid in resolution of the claim by way of settlement or an award of damages is more than $75,000. > > > (2) However, the maximum costs recoverable in any such matter on a practitioner and client basis are fixed at the amount calculated by subtracting $75,000 from the amount paid in resolution of the claim. > > > (3) The amount paid in resolution of a claim includes any amount payable in connection with the claim on a party and party basis. > > > (4) The maximum costs specified in subclause (2) are inclusive of all legal services provided in the course of the claim during the period commencing on the acceptance of the retainer and ending on the resolution of the claim. > > > (5) This clause does not apply to a motor accidents matter involving a claim for statutory benefits. > > **cll 25:** Ins 2017 (639), Sch 1 \[3\].