The most common question clients have at a consultation is “will I get my legal fees back if we win?”
In typical lawyer fashion, our answer is “it depends”.
The general guideline in Alberta follows the idea that the prevailing party in a lawsuit may be awarded costs at the end of the case.
“Costs” refer to the expenses and fees incurred during the litigation, which can include legal fees, court fees, expert witness fees, and other reasonable expenses related to the case.
When a court awards costs to the prevailing party, it means that the losing party is typically required to pay a portion of the winning party’s legal expenses. The purpose of awarding costs is to compensate the successful litigant for the expenses they had to bear to pursue or defend the lawsuit. It also serves as an incentive for parties to resolve disputes through litigation rather than engaging in frivolous or meritless lawsuits.
It’s important to note that the amount of costs awarded is usually subject to the court’s discretion, and it may not cover the entire amount spent by the winning party on legal fees and expenses. The court will consider factors such as the complexity of the case, the conduct of the parties during the litigation, and the reasonableness of the costs claimed before making a decision on costs. In the Court of King’s Bench, there is a tariff schedule which caps the costs that can be awarded for a particular step in the general course of litigation.
In some instances, the court may also order one party to pay “special costs,” which are higher than the usual costs. Special costs may be awarded when a party’s conduct during the lawsuit is found to be unreasonable or in bad faith. Solicitor-Client costs fall under the umbrella of special costs and are only awarded where there has been egregious behaviour from the other party.
It is essential for clients to consult with legal representatives to understand the specific rules and potential cost implications in their particular situation. To learn more about costs, contact our litigation team today.
Disclaimer: The information on this website is for general information purposes only. It is not intended to provide legal advice or opinions of any kind.
