Family Law: Costs Orders (noun)

Costs Order (noun): a decree made by the court that one party must pay the other parties legal fees for going to court due to the unnecessary delays caused by the paying party

 Costs orders are only given in very limited circumstances. Costs orders relate to the legal fees spent by a party in the court of court proceedings. Costs orders can only be made in relation to expenses incurred whilst ‘in court’, as opposed to during negotiations whilst trying to reach an agreement by consent.  To have a costs order made against you, or to request costs from the other side, a certain situation must arise as follows:

 If Party B rejects an offer from Party A, and the offer of Party A is the equivalent to or better than the court ordered outcome for Party B, then the court believes that Party B should have accepted the offer. As a result, the Court considers that Party A has suffered a loss of time and money in being forced to go to Court. The Court will order that Party B pay Party A’s legal fees as a result.

 The majority of Family Law cases will not require costs to be ordered because they will either a) settle outside of court or b) produce a different outcome than offered in negotiations. In some instances, parties prefer to put their Family Law matter behind them rather than expending additional time, money and energy pursuing costs. However, in some situations, costs orders provide an effective remedy when the other party has obstructed progress to your detriment. 

  If you have a family law matter, concerns about how to get a family law property settlement or questions about family law and separation in NSW and want to find out more please do not hesitate to contact us on 9688 6023 or email us at info@franklegal.com.au.

 This article is provided to the reader for general information. It is not legal advice. It was written by Andrea Spencer & Emily Graham and edited by James Frank.

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