Costs Agreement Template for Singapore

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Key Requirements PROMPT example:

Costs Agreement

"Need a Costs Agreement for my boutique corporate law firm in Singapore, covering both litigation and corporate advisory services, with specific provisions for success fees and third-party disbursements to be implemented from March 2025."

Document background
A Costs Agreement serves as the foundational document governing the professional relationship between legal practitioners and their clients in Singapore. This document is required whenever a law firm undertakes to provide legal services, ensuring compliance with the Legal Profession Act and related regulations. The Costs Agreement outlines fee structures, billing arrangements, scope of services, and professional obligations, providing both parties with clear expectations and legal protections. It is particularly important in Singapore's highly regulated legal services environment, where transparency in cost arrangements is mandatory.
Suggested Sections

1. Parties: Identification of the law firm and client

2. Background: Context of the engagement and scope of legal services

3. Definitions: Key terms used throughout the agreement

4. Scope of Services: Detailed description of legal services to be provided

5. Fee Structure: Billing rates, payment terms, and calculation methods

6. Payment Terms: Timeline and methods for payment

7. Professional Obligations: Law firm's duties and responsibilities

8. Termination: Conditions and process for ending the agreement

Optional Sections

1. Third Party Costs: Details of disbursements and external costs, used when external services are anticipated

2. Conflicts of Interest: Disclosure of potential conflicts, used in complex matters with multiple parties

3. Insurance: Professional indemnity coverage details, used for high-risk matters

4. Confidentiality: Special confidentiality provisions, used for sensitive matters

Suggested Schedules

1. Schedule of Rates: Detailed breakdown of hourly rates and fee calculations

2. Schedule of Team Members: List of lawyers and their roles on the matter

3. Cost Estimate: Detailed estimate of anticipated costs

4. Client Care Information: Standard information about client care and complaints procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Industries

Legal Profession Act (Cap. 161): Primary legislation governing legal practice in Singapore, particularly Part VA which covers Professional Conduct, Billing and Costs, including requirements for valid solicitor-client costs agreements

Legal Profession (Professional Conduct) Rules 2015: Subsidiary legislation detailing rules on fee arrangements, disclosure obligations, and professional responsibilities for lawyers in Singapore

Singapore Rules of Court 2021: Procedural rules including Order 23 on Security for Costs and provisions relating to legal costs and assessment

Legal Profession (Solicitors' Remuneration) Order: Regulatory framework providing guidelines on reasonable fees, fee calculation methods, and scale of costs for legal services

Law Society Guidelines: Professional guidelines including Practice Directions and Guidance Notes on billing practices and professional ethics requirements

Consumer Protection Laws: Relevant when the client is an individual, providing additional protections and requirements for consumer contracts

GST Act: Tax legislation relevant for the proper calculation and charging of Goods and Services Tax on legal services

Contract Act (Cap. 53): General contract law principles governing formation, validity, and enforcement of contracts in Singapore

Electronic Transactions Act: Legislation governing electronic execution of documents, relevant if the costs agreement will be executed electronically

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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