Paying for Legal Services

Many people employ the services of a lawyer from time to time. If you do have the need for such services, what payment are you liable for.
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Many people employ the services of a lawyer from time to time. If you do have the need for such services, what payment are you liable for.

The Legal Practice Act 20 2014, which came into effect 1 November 2018,  notes [24. (1)] A person may only practise as a legal practitioner if he or she is admitted and enrolled to practise as such in terms of this Act. [25.(1)] Any person who has been admitted and enrolled to practise as a legal practitioner in terms of this Act, is entitled to practise throughout the Republic, unless his or her name has been ordered to be struck off the Roll or he or she is subject to an order suspending him or her from practising. [33.(1)] Subject to any other law no person other than a legal practitioner who has been admitted and enrolled as such in terms of this Act may, in expectation of any fee, commission, gain or reward—

(a) appear in any court of law or before any board, tribunal or similar institution in which only legal practitioners are entitled to appear; or

(b) draw up or execute any instruments or documents relating to or required or intended for use in any action, suit or other proceedings in a court of civil or criminal jurisdiction within the Republic.

This does not mean that you cannot represent yourself. It is actually not the difficult. That said you need to weigh up the Risk / Reward.  

The Legal Practice Act called for an investigation into the fees charged by the legal profession. This investigation by the SA Law Reform Commission resulted in a published report on the matter, all 575 pages worth.

35(2) The Rules Board for Courts of Law must, when determining the tariffs as contemplated in subsection (1), take into account—

(a) the importance, significance, complexity and expertise of the legal services required;

(b) the seniority and experience of the legal practitioner concerned, as determined in this Act;

(c) the volume of work required and time spent in respect of the legal services rendered; and

(d) the financial implications of the matter at hand.

(3) Despite any other law to the contrary, nothing in this section precludes any user of litigious or non-litigious legal services, on his or her own initiative, from agreeing with a legal practitioner in writing, to pay fees for the services in question in excess of or below any tariffs determined as contemplated in this section.

So you are free to negotiate

[35(7)] When any attorney {or an advocate referred to in section 34(2)(b)} first receives instructions from a client for the rendering of litigious or non-litigious legal services, or as soon as practically possible thereafter, that attorney or advocate must provide the client with a cost estimate notice, in writing, specifying all particulars relating to the envisaged costs of the legal services, including the following:

(a) The likely financial implications including fees, charges, disbursements and other costs;

(b) the attorney’s or advocate’s hourly fee rate and an explanation to the client of his or her right to negotiate the fees payable to the attorney or advocate;

(c) an outline of the work to be done in respect of each stage of the litigation process, where applicable;

(d) the likelihood of engaging an advocate, as well as an explanation of the different fees that can be charged by different advocates, depending on aspects such as seniority or expertise; and

(e) if the matter involves litigation, the legal and financial consequences of the client’s withdrawal from the litigation as well as the costs recovery regime.

[35(8)] Any attorney or an advocate referred to in section 34(2)(b) must, in addition to providing the client with a written cost estimate notice as contemplated in subsection (7), also verbally explain to the client every aspect contained in that notice, as well as any other relevant aspect relating to the costs of the legal services to be rendered.

35(9) A client must, in writing, agree to the envisaged legal services by that attorney or advocate referred to in section 34(2)(b) and the incurring of the estimated costs as set out in the notice contemplated in subsection (7).

35(10) Non-compliance by any attorney or an advocate referred to in section 34(2)(b)with the provisions of this section constitutes misconduct.

35(11) If any attorney or an advocate referred to in section 34(2)(b) does not comply with the provisions of this section, the client is not required to pay any legal costs to that attorney or advocate until the Council has reviewed the matter and made a determination regarding amounts to be paid.

35(12) The provisions of this section do not preclude the use of contingency fee agreements as provided for in the Contingency Fees Act, 1997 (Act No. 66 of 1997). 

Ryts has dealt with the Contingency Fees Act in a previous article. The services of the legal practitioner can be of great value to you, just know what you are in for.

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