The Law Handbook 2024

60 Section 2: Getting help For lump sum bills, you have 60 days from the date the bill is issued to dispute those costs. However, your lawyer can sue you for payment of the costs 30 days after the bill was received. If your lawyer does sue you, even within the 60-day period, the VLSB+C cannot deal with your dispute. For itemised bills, you have 30 days from the date the bill is issued to dispute those costs. The VLSB+C can accept a costs dispute up to four months outside of these time limits if you can demonstrate that there was a good reason for the delay and the lawyer hasn’t sued you for the costs. As at 1 July 2023, the VLSB+C can deal with complaints about legal bills where the total bill is less than $185 460 (including barrister’s costs). If the total bill is more than $185 460, the amount in dispute must be under $18 550. If the outstanding balance of the bill in dispute is greater than $18 550, the VLSB+C can help you to informally resolve your complaint if your lawyer agrees to take part in our informal resolution processes or mediation. If your lawyer won’t agree or if an agreement can’t be reached, the VLSB+C may refer you to VCAT (if the costs are under $46,365) or the Costs Court (which has no dollar limits). Disputes about your lawyer’s behaviour and services (not legal costs) The VLSB+C can also consider disputes about the behaviour of a lawyer or the quality of the legal services they provide. For example, where work has not been done properly or at all, where there have been lengthy delays, where there has been a lack of communication, where necessary steps haven’t been taken, or where the lawyer has been rude or abusive. The VLSB+C will assess your concerns and act on them based on the risk of harm to you and others, and based on the information supplied by you and your lawyer. In some cases (e.g. where a lawyer was rude), the VLSB+C may not take action after a single complaint, but will instead monitor for patterns of behaviour over time. Where a pattern is identified, the VLSB+C may take a closer look at the lawyer’s professional behaviour. Investigations and determinations • If the VLSB+C can’t help you resolve your matter, and if it’s appropriate, they can carry out a formal investigation. This won’t automatically result in the lawyer or law practice being disciplined. Rather, it’s a search to get to the facts of the matter. • After an investigation, if the VLSB+C find it’s appropriate, they can make a legally-binding order against the lawyer or law practice called a ‘determination’. These determinations include requirements for what the lawyer or law practice must do to resolve your complaint. • In certain circumstances, instead of making a determination, the VLSB+C may decide to bring disciplinary charges against the lawyer or law practice. In these cases, the lawyer or law practice would be required to appear before VCAT for a hearing. Compensation orders (financial loss) The VLSB+C can only order a lawyer to pay you compensation if you have lost money as a direct result of your lawyer’s action, and it is in the interest of justice to do so. Compensation is payable only where it’s fair and reasonable. The compensation may not be as much as you asked for. The maximum amount of compensation that the VLSB+C can award is $25,000. If your financial loss is more than that, you should seek independent legal advice about other options that may be available. Compensation for loss of trust money (from the Fidelity Fund) Law practices often hold ‘trust money’ for clients (or other people). Trust money is money that’s entrusted to a law practice during or in connection with the practice’s provision of legal services. The money doesn’t belong to the law practice, and must only be used according to the instructions of the client. Trust money is usually deposited into a special bank account called a ‘trust account’. However, money that’s given to a law practice while the practice is representing a person in a legal matter may still be ‘trust money’ even if it’s not banked into a trust account. It’s important to know that by law, not all lawyers are allowed to receive trust money. You can check if your lawyer is allowed by searching the