Tim Martin Interiors Ltd v Akin Gump LLP [2011] EWCA Civ 1574, [2012] All ER (D) 02 (Jan)
Court of Appeal, Civil Division, Ward, Lloyd and Kitchen LJJ, 21 Dec 2011
If a third party seeks to recover sums which he has paid to the client, who has paid the costs claimed to the solicitor, it is not open to the court to require the solicitor to refund the balance to the third party, even if the third party is able to demonstrate that the bill against him is excessive.
Faisal Saifee (instructed by Candey LLP) for the company. Nicholas Bacon QC (instructed by Akin Gump LLP) for the firm.
The appellant company borrowed money from the Bank of Ireland (the bank), on the security of mortgages and of guarantees. The company defaulted on the mortgages. The bank instructed the respondent (the firm) to take steps to enforce the mortgages and recover possession. In August 2004, a statement of indebtedness was prepared showing overall liability of some £1.15m, including £114,216 by way of legal fees payable to the firm. In September 2004, the