Submissions On Defendant's Bill of Costs
Submissions On Defendant's Bill of Costs
Subsequently, I submit on the remaining items and pray that they be taxed off
as stated herein after.
The Plaintiff seeks to have the Instruction Fees taxed off by Kshs. 244,603.20
to the minimum amount allowed under Rule 1(b) of Schedule VI on the basis
that the subject of this suit is the recovery of Kshs. 1,026,453 and interest
thereon by the Plaintiff from the Defendant; which claim the Defendant merely
defended without making any counter-claim or even all alleging in is pleading
that the subject of dispute between himself and the Plaintiff had a monetary
value in excess of the claimed Kshs. 1,026,453
The Defendant claims Kshs. 300,000 under item number 1 in its Bill on
account of Instruction Fees, whereas Rule 1(a) provides for a minimum of
Kshs. 55,396.80. Hence, the Defendant contends that:
The Defendant should base his fee on the claim for Kshs. 1,026,453, and
not on any other figures that would entitle him to Kshs. 300,000 as the
basic Instruction Fees.
That the Taxing Officers should exercise his discretion and Taxing Off
this item to the minimum fees, or even below the minimum fee; and
That the Taxing Officer should not award an amount above the basic
minimum Instruction Fees as the Defendant/Applicant does not in any
way deserve the same.
a) That the Taxing Officer should use either the value of the subject matter
as provided in the pleadings or to any other amount ascribed to by the
trial Judge when he gave an order for costs, but the Taxing Officer
should not import maters into his assessment of costs due to a party
that are not contained in the judgment or order of costs.
Authorities on this:
1. L. Z Engineering Construction Ltd. v Trade Bank Ltd.,
J. W. Mwera J.
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3. Anne Augusta M Lusaka v Ruth Awinja
Nairobi Milimani HCCC No. 1404 of 2001
T Mbaluto J
The Plaintiff submits that the value to be used herein is the claim for
Kshs. 1,026,453 as contained in the Plaint.
b) That in the event that the Taxing Officer considers enhancing the
Instruction Fee above the basic minimum, then he can do provided that
it does not cause an injustice.
Authorities on this:
1. Danson Mutuku Muema v Julius Muthoka Muema and Ano.
J. W. Mwera J.
M. ole Keiwua J.
c) That the Taxing Officer can reduce the Instruction Fee in the Bill,
provided that it does not cause an injustice.
Authority on this:
1. Tononoka Steels Ltd. v PTA Bank Ltd.
M. ole Keiwua J.
d) That the Taxing Officer can reduce the Instruction Fee below the basic
minimum, provided that it does not cause an injustice.
Authority on this:
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1. C. T. Patel and others v Barclays Bank D. C. O
Further to the above, the Taxing Officer should consider reducing the
Instruction Fee below the minimal Kshs. 55,397, as the Defence filed
against this suit was nothing more than a mere denial, not withstanding
that the suit was dismissed for inconsistency in the evidence adduced by
the Plaintiff.
e) That the Taxing Officer should consider the following factors before
deciding to increase the Instruction Fee above the basic minimum:
(i) Exercise of discretion as a rule should be accompanied by the
reasoning behind it. It may as well be just and fair to set aside
unexplained exercise of discretion.
Authority on this:
Danson Mutuku Muema v Julius Muthoka Muema and Ano.
J. W. Mwera J.
(ii)
Instruction fees are earned the moment a plaint or a defence
is filed
The instruction fee is not dependent on the period taken to
determine the matter finally for the time taken in the course
of the case hearing or argument is a matter to be separately
remunerated.
A taxing master can increase or reduce the scale fee on
discretion as long as the variation is not so big that it
occasions injustice to the appellant.
Authority on this:
Tononoka Steels Ltd. v PTA Bank Ltd.
M. ole Keiwua J.
Authority on this:
First American Bank of Kenya Ltd v G.P. Shah, P.J Shah and D.P. Shah
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Nairobi Milimani HCCC 2255 of 2000
A. G. Ringera J.
(iv)
It is not open for the taxing master to imagine how much
time is spent in the matter the subject of taxation.
Taking instructions and filing a defence in view of absence
of further pleadings proceedings and/or judgment cannot
be termed as “strenuously defending”
The sole test to determine instruction fees is the nature
character and substance of the claim and the gravity of the
issues of fact and law involved in the proceedings of the
court, the guideline to this is first and foremost the
judgment of the court.
Instruction fees cover the taking of instructions and
advising thereon, the application of the law to the facts, the
preparation of a mater for hearing, and the actual hearing.
A taxing officer should curb inflated bills to keep legal
services affordable. (emphasis mine)
Authority on this:
Murgor & Murgor Advocates –Vs- The Central Bank of Kenya & Joseph
Kittony (sued as the Receiver-Manager of Grand Regency Hotel)
Nairobi H. C. Misc. App. No. 694 OF 1998
Rule 2 provides for an amount not less than one-third of the Instruction Fees,
yet the Defendant/Applicant claims one-half of the Instruction Fees.
Despite the fact that the Law states that it cannot be reduced below the
minimum, there is also no justification for raising it above the minimum one-
third.
Authority on this:
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Murgor & Murgor Advocates –Vs- The Central Bank of Kenya & Joseph Kittony (sued as
the Receiver-Manager of Grand Regency Hotel) Nairobi H. C. Misc. App. No. 694
OF 1998
Rule 2(i) provides that it should not be increased above the minimum amount if
the preparation entailed what was already done during the taking of
instructions.
Rule 7 provides a lower and Higher scale based on time. However the
Defendant/Applicant’s claim of the highest amounts provided for hereunder
have no justification, and some claims are even fictitious and hence should be
Taxed Off as per the record of this Honourable Court.
The higher scale of costs in the high court is only applicable to attendances,
and further that it is at the discretion of the Taxing Officer
I wish to refer this Honourable Court to the Coram for attendance on the
Record, and having looked at the attendances listed in items numbers 10, 13,
15, 19, 20, 21, 22, 26, 27 and 32 and have noted and state the following:
a) That in all instances except for Items number 27 and 32, the Defendant
claims for full day court attendance on the Higher scale of 7,200. The
Taxing Officer should in these instances apply the half-day rate on the
lower scale, as that is the duration that the trials usually take.
b) That in items numbers 22, the Defendant claims for an hour’s
attendance on the Higher scale of Kshs. 1,500 whereas the matter was
merely a mention lasting a few minutes, for which we submit that the
Court should Tax it at Kshs. 600, and therefore Kshs. 900 be Taxed Off.
c) In other instances when no Counsel attended, the Defendant would not
be entitled to costs, since a litigant’s attendance to court (if at all) should
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not be remunerated under the Advocates (Remuneration) Order. Only an
advocate, a witness, an interpreter or such can be remunerated.
Authority on this:
Danson Mutuku Muema v Julius Muthoka Muema and Ano.
Machakos HCCA No. 6 of 1991
J. W. Mwera J.
This item described as out of pocket expenses at the rate of Kshs. 8,000 for 6
hearings has no legal basis under Schedule VI as provision has already been
made for Advocate’s Fees on account of Court Attendances in No. 3 above.
Thus, Item number 38 should be disallowed in its entirety and an amount of
Kshs. 48,000 should be Taxed Off therefrom.
The totals of the Defendant’s Bill of Costs is not Kshs. 572,145 as claimed but
rather adds up to Kshs. 570,930, and should be adjusted accordingly before
the amounts to be Taxed Off therefrom are deducted accordingly.
CONCLUSION
Your Honour I wish to summarise my submissions that the Defendant has
failed to prove that he is entitled to such amounts as claimed in his Bill of
Costs, which amounts would definitely cause an injustice upon the
Plaintiff/Respondent; hence, these claims must be Taxed Off as prayed herein.
I urge your Honour to Tax the Defendant’s Bill of Costs dated 31 st March 2006
in favour of the Plaintiff/Respondent as per these Submissions.
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DATED at NAIROBI this day of 2006
TO BE SERVED UPON:-
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