97WPI indexation of lawyers legal costs

97 WPI indexation of lawyers legal costs (1) An amount prescribed by regulation under section 96 must be amended each year in line with variations in the WPI that happen after the commencement of the regulation in which the amount is prescribed. (2) However, if an amount required to be adjusted in accordance with subsection (1) would be reduced because of a reduction in the WPI (a negative adjustment), the amount must not be amended in line with the negative adjustment. (3) An amount that, in accordance with subsection (2), is not reduced may be increased in line with an adjustment in the WPI that would increase the amount only to the extent that the increase, or part of the increase, is not one that would cancel out the effect of the negative adjustment. (4) Subsection (3) does not apply to a negative adjustment once the effect of the negative adjustment has been offset against an increase in line with an adjustment in the WPI. Example—adjustments An amount prescribed by regulation is $100. There is a 20% increase in the WPI after the section commences. The amount prescribed becomes $120 ($100 + 20%). There is then a 10% drop in the WPI. The amount does not change from $120 (although if it had changed it would be $108). There is a 20% increase in the WPI. The 20% increase is not to the $120, but to the $108. $108 + 20% = $129.60. So the $120 becomes $129.60. This is the amount ($120) increased by so much of the 20% increase that did not cancel out the effect of the adjustment down to $108. WPI means the Wage Price Index, Australia issued by the Australian statistician.