Advocates (Remuneration and Taxation of Costs) (Amendment) Regulations

These Regulations may be cited as the Advocates (Remuneration and Taxation of Costs), (Amendment) Regulations, 2018.

Regulation 4 of the Advocates (Remuneration and Taxation of Costs) Regulations, Statutory Instrument 267-4, in these Regulations referred to as the principal Regulations, is amended by replacing the words "twenty thousand shillings" appearing in the Regulation, with the words "one hundred thousand shillings".

The principal Regulations are amended by inserting immediately after regulation 13, the following new regulation-

"13A. Pre-taxation meeting of advocates or parties (1) The advocates for the respective parties or the parties themselves, if unrepresented, shall jointly identify the costs, fees and expenses on which they agree, if any, before the taxation of a bill of costs.

Regulation 47 (1) of the principal Regulations is substituted with the following-

"47. Manner of preparing bill for taxation Bills of costs for taxation shall be prepared in five columns in the following manner- (a) the first column shall be for the numbers of the items; (b) the second column shall be for the date on which the service charged for was rendered; (c) the third column shall indicate the particulars of the service charged, categorized under separate sub headings such as instruction fees, drawing documents, attendances, Value Added Tax where applicable, and disbursements; (d) the fourth column shall indicate the professional fees claimed; and (e) the fifth column shall have the deductions by the taxing officer."

The Schedules to the principal Regulations are replaced as follows-

SCHEDULES

FIRST SCHEDULE

Regulations 14(a), 20, 28, 35 Scale of fees on sales, purchases, mortgages and debentures and for commission on sales, purchases and loans affecting certain land. First scale Scale of fees for advocate for the vendor or purchaser on sale and purchase of land

The fees shall be calculated cumulatively on the basis of the consideration or value of the subject matter as follows-

or completing a sale or purchase agreement for registered land- 5% of the amount or 500,000 (a) Where the consideration does not shillings, whichever is higher; exceed 10,000,000 shillings 5% of the amount not exceeding (b) Where the consideration exceeds 10,000,000 shillings; and 10,000,000 shillings but does not 3% of the amount exceeding exceed 20,000,000 shillings 10,000,000 shillings; 5% of the amount not exceeding 10,000,000 shillings; 3% of the amount exceeding (c) Where the consideration exceeds 10,000,000 shillings but not 20,000,000 shillings exceeding 20,000,000 shillings; and 2% of the amount exceeding 20,000,000 shillings.

of the fee in item 1 of this conveyance in a land registry or scale processing a certificate of title

where the advocate has not for each item not handled by the handled the negotiation, preparation advocate or completion for registration

Notes

under this scale shall be 500,000 shillings.

in this scale include fees for deducing title, drafting, making copies, attesting, attendances and correspondence in connection with any of these matters, so far as the matter is required to be done by the advocate.

Second Scale

Scale of fees for charges affecting land such as debentures and mortgages

on the basis of the consideration or the value of the subject matter as follows- 5% of the amount or 500,000 (a) Where the value does not shillings, whichever is higher exceed 10,000,000 shillings 5% of the amount not exceeding (b) Where the value exceeds 10,000,000 shillings; and 10,000,000 shillings but does 3% of the amount exceeding not exceed 20,000,000 shillings 10,000,000 shillings

5% of the amount not exceeding 10,000,000 shillings; 3% of the amount exceeding (c) Where the value exceeds 10,000,000 but not exceeding 20,000,000 shillings 20,000,000 shillings; and 1% of the amount exceeding 20,000,000 shillings

chargee referred to in item 1, for negotiating preparing and completing a further 30% of the fee in item 1 of this charge in addition to the charge in scale. item 1

for negotiating, preparing and 50% of the fee in item 1 of this completing a security scale.

3 for negotiating, preparing and 30% of the fee in item 1 of this completing a further charge in scale addition to the charge in item 3

or charger, for negotiating and this scale or 500,000 shillings, preparing to completion, an whichever is higher. assignment, redemption or discharge of a security

for negotiating and preparing to 50% of the fee in item 1 of this completion, an equitable mortgage scale. or memorandum of charge

for negotiating, preparing and 25% of the fee in item 1 of this completing an equitable mortgage scale. or memorandum of charge by deposit of title

full prescribed fee in respect are created, whether of the principal security; contemporaneously or subse- 25% of the prescribed fee for the quently, in favour of the same first additional security; and chargee to secure the same or a 10% of each subsequent additional lower amount security. 9.Where a mortgage or charge comprises 10% of the prescribed fee in more than one immoveable property respect of the second immoveable property; and 5% of the prescribed fee in respect of the third and each subsequent immoveable property.

favour The full prescribed fee in respect of two or more chargees of the first chargee; 5% of the prescribed fee in respect of each additional charge; Provided that the total fee shall be divided equally among the chargees unless otherwise agreed by all the chargees in writing.

the fee shall be reduced by 30% the negotiation and preparation to for each item not handled by the completion of a transaction advocate.

where the debenture does not create a security, shall be calculated under the Fifth Schedule taking into account the time, complexity and responsibility

more than one charger, no addition shall be made to the prescribed fee Note The fees in this scale include fees for deducing title, drafting, making copies, attesting, attendances and correspondence in connection with these matters, so far as those matters are required to be done by the advocate.

SECOND SCHEDULE

Regulations 14 (b), 15, 18, 19 & 29

Scales of charges for leases and agreements of leases at rack rent and for building leases, reserving rent, etc.

First Scale

Scale of charges for leases and agreements for leases at rack rent

and completing a lease or agreement for a lease and counterpart lease or agreement for a lease- 5% of the consideration or (a) Where the consideration does not 500,000 shillings, whichever is exceed 10,000,000 shillings; higher; (b) Where the consideration exceeds 5% of the amount not exceeding 10,000,000 shillings but does not 10,000,000 shillings; and exceed 20,000,000 shillings 3% of the amount exceeding 10,000,000 shillings; 5% of the amount not exceeding 10,000,000 shillings, 3% of the amount exceeding (c) Where the consideration exceeds 10,000,000 shillings but not 20,000,000 shillings exceeding 20,000,000 shillings; and 2% of the amount exceeding 20,000,000 shillings.

lease or agreement for a lease

Notes

notwithstanding those items (a) in the case of a lease, an agreement for lease or a tenancy agreement for a dwelling house or an apartment or a flat, for a term exceeding one year but not exceeding three years, and which does not contain an option for renewal or extension which may extend the term in excess of three years, an advocate may reduce the fees by a sum not exceeding 50% of the fees;

Where the consideration does not 500,000 shillings, whichever is exceed 20,000,000 shillings higher 10% of the amount not Where the consideration exceeds exceeding 20,000,000 shillings; 20,000,000 shillings but does not and exceed 50,000,000 shillings 5% on the amount exceeding 20,000,000 shillings. 10% of the amount not Where the consideration exceeds exceeding 20,000,000 shillings; 50,00,000 shillings 5% of the amount exceeding 20,000,000 shillings but not exceeding 50,000,000 shillings; and 2% of the amount exceeding 50,000,000 shillings.

lease or for preparing, settling and agreement for a lease completing the lease.

Notes

For purposes of item 1 of this scale-

THIRD SCHEDULE

Regulations 14(c), 15, 18 & 19

Floatation of companies

First scale

Registration of new companies

incorporation of a private company with limited liability and share capital- 10% of the amount or 500,000 (a) Where the nominal capital of the shillings, whichever is higher; company to be formed does not exceed 10,000,000 shillings 10% of the amount not exceeding (b) Where the nominal capital of the 10,000,000 shillings; and company to be formed exceeds 3% of the amount exceeding 10,000,000 shillings but does 10,000,000 shillings; not exceed 50,000,000 shillings 10% of the amount not exceeding 10,000,000 shillings; 3% of the amount exceeding (c) Where the nominal capital of the 10,000,000 shillings but not company to be formed exceeds exceeding 50,000,000 shillings; 50,000,000 shillings but does and not exceed 100,000,000 shillings 2% of the amount exceeding 50,000,000 shillings;

10% of the amount not exceeding 10,000,000 shillings; 3% of the amount exceeding 10,000,000 shillings but not (d) Where the nominal capital of the exceeding 50,000,000 shillings; company to be formed exceeds 2% of the amount exceeding 100,000,000 shillings 50,000,000 but not exceeding 100,000,000 shillings; and 1% of the amount exceeding 100,000,000 shillings.

and incorporation of a public company shall be 150% of the fees set out in item 1of this scale, or 1,000,000 shillings, whichever is higher

and incorporation of a new company without share capital shall be agreed upon between the advocate and the client, taking into account the complexity and responsibility of the matter, but shall not be less than 500,000 shillings

company shall be agreed upon between the advocate and the client, taking into account the complexity and responsibility of the matter, but shall not be less than 1,000,000 shillings Notes

the company, which are required to be done by the advocate, but not any work in connection with the preparation or issue of a prospectus

this scale shall include fees for preparing and lodging company forms at the Companies Registry and procuring a certificate of registration and all routine attendances and correspondence Second Scale

Debentures

debenture or series of debentures (a) Where the amount secured does 10% of the amount secured or not exceed 10,000,000 shillings 500,000 shillings, whichever is higher (b) Where the amount secured exceeds 10,000,000 shillings 10% of the amount not exceeding but does not exceed 50,000,000 10,000,000 shillings; and shillings 3% of the amount exceeding 10,000,000 shillings;

in this scale, charge the fees prescribed for the advocate for a chargee in the First Schedule Notes

the company, shall be paid by the company, unless otherwise agreed in writing

the Company Registry and Land Registry, as necessary Third Scale

Other company work

on issue of equity or debt instruments, obtaining regulatory approval, obtaining securities exchange listing, drafting and adjusting press advertisements, the reconstruction or amalgamating of companies or any other non-litigious work in relation to company matters not otherwise provided for, shall be charged by the advocate according to time, complexity and responsibility.

these Regulations shall be charged under that Schedule FOURTH SCHEDULE.

Regulation 14(d), 15, 18 & 19

Trademarks, inventions and designs

First Scale

Trademarks

Activity Fees

Not less than (3) drawing registered user agreement 300,000

an application, and all other correspondences

mark This term is not defined in the Trademarks Act, where it was imported from Second Scale

Patents, utility models, industrial designs, geographical indications, plant varieties and other intellectual property rights

Activity Fees

subsequent proprietor of a pending application or 1,000,000. registered right

registration

name or change of address of the registered proprietor and 500,000 reviewing all the supporting documents

certified copies of documents (1) one copy of any document 100,000 (2) additional copies of same document obtained 50,000 simultaneously

applications and appeals (1) instructions to file infringement, expungement, The fee shall rectification, caution and opposition proceedings be determined or, applications for compulsory licenses, variation, by the taxing transfer or cancellation of compulsory licenses, officer in the entry of licenses as of right and to defend or exercise of contest the proceedings or applications where the his or her, proceedings or applications are conducted before taking into the registrar consideration the nature and importance of the proceedings or applications, the importance of the rights to the parties concerned, the amount of evidence filed and the time required for the proceedings and all other r e l e v a n t circumstances, but shall not be less than 5,000,000

Fifth Schedule

Regulations 14(e) 15, 30, 34

Scale of fees in respect of business the remuneration for which is not otherwise prescribed.

Activity Fees The fees for instructions shall be fair and

having regard to the care and deeds, deed polls, constitutions, labour required, the number and length declarations, affidavits, proposals, of papers to be perused, the nature and contracts and other documents or importance of the matter, the amount or other matters of a non-contentious value of the subject matter involved, the nature interest of the parties, complexity of the matter, and all the other circumstances of the case, but shall not be less than 200,000.

not less than 75,000 person or by electronic means, per 15 minutes or part of

day

on attendance and not on the time not less than 100,000 the advocate is engaged

correspondence and other documents not expressly provided for, including making copies of the documents and correspondences 100,000 The fees shall be as considered reasonable in the circumstances, having regard to the same considerations as set out in this

the assessment of instructions but not less than

100,000

document where that an advocate is not entitled to a fee for witnessing (1) where the advocate has prepared, settled or approved the document and the advocate is being remunerated according to this order; or (2) where the advocate acts for one of the parties in a transaction and witnesses or attests the signature of the other party, for whom the advocate is not acting 100,000.

not less than 200,000. appropriate authority

The fees shall be as set out under the

of the Third Schedule chattels securities Debt collection- (a) Where the amount of debt does 10% of the amount of the debt not exceed 5,000,000 shillings

SIXTH SCHEDULE Regulations 37, 57

Scale of fees in High Court, magistrate courts, tribunals and arbitration matters

claim, defend or oppose shall be as follows (1) to sue or defend any case, whether commenced by plaint, statement of claim, petition, originating summons or originating motion, or to present or oppose an appeal, where the claim or value of the subject matter can be determined from the pleadings, settlement, a valuation or the judgment, the instruction fee shall be in accordance with the following scale-

Claim or value of subject fees matter

where the value of the subject matter can be determined from the statement of affairs, pleadings, settlement, a valuation or the judgment, the instruction fee shall be in accordance with the scale in item 1 of this schedule

For instructions to present or oppose an application for adoption or guardianship the fee shall be reasonable, but not less than 500,000 shillings.

For instructions to present or oppose an election petition, the fee shall be as the taxing officer considers reasonable, taking into consideration the nature, importance, complexity and novelty of the petition, the place where and the circumstances in which work or a part of it was done, the time expended, the public interest and all other relevant circumstances, but the fees shall not be less than 5,000,000 shillings for petitions under the Local Governments Act and shall not be less than 10,000,000 shillings for petitions under the Parliamentary Elections Act.

The fees shall be a sum as the taxing officer considers reasonable, having regard to the amount of the subject matter, the nature, importance, complexity and novelty of the matter, but the fees shall not be less than 3,000,000 shillings.

Note Unless otherwise provided in this scale, the instruction fee allowed under items 1 to 10 of this Schedule, shall include all the work necessarily and properly done in connection with the case which is not otherwise chargeable, including perusals.

JUSTICE REMMY KASULE, (Justice Court of Appeal and Constitutional Court) Chairperson, Law Council.