Private client solicitors deal with complex, often sensitive matters involving estates, trusts, tax planning and disputes over wealth. While the focus is rightly on achieving the best outcome for clients, legal costs can quickly become a secondary issue that creates risk for both the firm and the client.

At ARC Costs, we act as costs lawyers for private client practitioners, supporting firms with everything from costs recovery through to costs litigation and detailed assessment. Our role is to ensure that costs are not only properly managed, but also recoverable and defensible when challenged.

Why private client work creates costs challenges

Private client matters are rarely straightforward. Unlike areas such as personal injury, where fixed fees or predictable cost structures may apply, private client work often involves:

• Ongoing advisory work over long periods
• Multiple parties with competing interests
• Complex asset structures
• Disputes involving trusts, estates, or capacity issues
• Hybrid work that may become contentious

This creates uncertainty around how costs should be structured, recorded, and ultimately recovered.

In many cases, what begins as non-contentious work develops into formal costs litigation, particularly in disputes involving estates or trustees. When that happens, the approach to costs becomes critical.

The role of a costs lawyer for private client solicitors

A costs lawyer for private client work provides specialist support across the lifecycle of a matter.

This includes advising on:

• Structuring retainers and fee arrangements
• Managing and reviewing costs budgets where applicable
• Preparing and defending Bills of Costs
• Advising on proportionality and recoverability
• Supporting negotiations between parties
• Representing matters through costs litigation and detailed assessment

The objective is not simply to prepare documents at the end of a case, but to ensure that the way costs are handled throughout the matter supports recovery.

Costs budgets in private client disputes

While costs budgets are most commonly associated with commercial and high-value litigation, they can also arise in private client disputes that proceed through the courts.

Where budgeting applies, it is essential that the budget reflects the true complexity of the matter. Private client disputes often involve:

• Extensive documentary evidence
• Multiple expert inputs
• Ongoing developments in the issues

If these factors are not properly reflected in the budget, recovery may later be restricted.

We assist firms in preparing and reviewing costs budgets to ensure they align with how the case is likely to develop, reducing the risk of shortfall at assessment.

Maximising costs recovery in private client matters

Costs recovery in private client work presents unique challenges. In some cases, costs may be payable out of the estate or trust rather than by an opposing party. In others, there may be disputes over whether costs should be borne personally by a party or shared between beneficiaries.

The court will often consider:

• The conduct of the parties
• Whether the litigation was necessary
• Whether costs were reasonably incurred
• The overall proportionality of the costs

This makes it essential that costs are clearly recorded and justified throughout the matter.

A proactive approach to costs significantly improves the likelihood of successful recovery.

Fixed fees and private client work

Many private client firms operate using fixed fees for certain types of work, particularly in non-contentious matters such as wills, probate, or estate administration.

While this provides clarity for clients, it can also create challenges if the matter becomes more complex than originally anticipated.

Where work extends beyond the scope of a fixed fee arrangement, it is important that:

• The retainer allows for additional charges
• The client is kept informed of changes
• The transition to hourly or additional billing is clearly documented

Failure to manage this properly can lead to disputes over fees and difficulties recovering costs later.

When private client work becomes costs litigation

A key risk area is when private client work becomes contentious.

Disputes over wills, estates, or trusts can quickly escalate into formal proceedings, bringing with them the potential for costs litigation.

At that point, issues such as:

• Who should pay the costs
• Whether costs are recoverable from the estate
• Whether costs have been reasonably incurred
• The proportionality of the work undertaken

become central to the case.

Having specialist support from a costs lawyer at this stage ensures that these issues are addressed properly and that the firm’s position is protected.

Preparing Bills of Costs in private client cases

The preparation of a Bill of Costs in private client matters requires a detailed understanding of both the legal work undertaken and the context in which it arose.

This includes:

• Explaining why the work was necessary
• Demonstrating how the matter developed
• Addressing any issues of proportionality
• Anticipating challenges from other parties

Given the often sensitive and complex nature of private client disputes, this process requires careful handling.

A well-prepared Bill of Costs can significantly improve the outcome at negotiation or detailed assessment.

Why early costs advice matters

One of the most effective ways to avoid costs litigation is to address costs issues early.

This includes:

• Ensuring retainers are clear and comprehensive
• Managing client expectations around fees
• Recording work in a structured and defensible way
• Reviewing costs regularly as the matter develops

In our experience, many disputes arise not because the work was unnecessary, but because it was not properly explained or documented.

Early input from a costs lawyer for private client work can prevent these issues from arising.

How ARC Costs can assist private client solicitors

At ARC Costs, we have extensive experience acting as costs lawyers for private client firms across a wide range of matters.

We support solicitors with:

• Strategic advice on costs and recoverability
• Preparation and review of costs budgets
• Drafting and defending Bills of Costs
• Advising on disputes involving estates and trusts
• Supporting firms through costs litigation and detailed assessment

Our approach is practical and commercially focused, ensuring that costs are managed in a way that supports both the firm and its clients.

Instruct a costs lawyer for private client work

If you are dealing with complex private client matters or facing challenges around costs recovery, early specialist input can make a significant difference.

At ARC Costs, we work alongside private client solicitors to ensure that costs are properly structured, recorded, and recoverable.

To discuss how we can assist, contact us using the form at the top of the page. We can also be contacted via email at info@arccosts.co.uk. Alternatively, you can call us on 01204 397302.

Follow Us