On 5 April, 2013, Collection Point once again were successful in obtaining a costs order against Cornwall Stodart Lawyers.
In the Summons for Taxation, Collection Point are seeking to have bills raised by Cornwall Stodart Lawyers and that have been paid by Collection Point, reviewed for “over charging.” The application was successful by Collection Point, but was resisted by Cornwall Stodart and as such an order for costs in the sum of $18,911.21 was made against Cornwall Stodart to pay Collection Point.
Cornwall Stodart had previously failed to produce all the required Statutory Disclosures for the hearing on 4 and 5 April and subject to an order now made against them on 4 April, 2013 they now “must” produce to the Supreme Court, by the 30 April, 2013, all Statutory Disclosures made in respect of the relationship / engagement of their services.
Cornwall Stodart Lawyers have also been ordered to produce to the Supreme Court all Costs agreements entered into with Collection Point by the 30 April, 2013 and by no later than 28 June, 2013 have been ordered to produce a full itemised bill of their charges made and paid by Collection Point.
The further hearing against Cornwall Stodart will then return before the Supreme Court on 8 and 9 August, 2013 and once again, Collection Point will endeavour to have Cornwall Stodart Lawyers’ Bills or Invoices reviewed for “overcharging” allegations.
It is to be noted that this is the third order made against Cornwall Stodart Lawyers, by Collection Point and it appears that countless delays, such as those noted above in the 4 April, 2013 orders seem to be “dragging” on the issue.
Collection Point are extremely frustrated at the length of time that continues to be given to a “major and sophisticated” law firm in producing documentation that would ordinarily be simple to produce by them.
You may recall, Collection Point was successful in a previous matter against Cornwall Stodart in April, 2012 almost one year ago now and Cornwall Stodart were ordered to pay back Collection Point approximately $36,000.00 of a $46,000 odd bill. This “gross overcharging” result has not seemed to raise any eyebrows with the Legal Services Commissioner as far as we are aware, but surely, at some point the Legal Services Commissioner must intervene and investigate these former matters and the current matters against the same Law Firm Cornwall Stodart.
In another matter, Collection Point is also aware that Cornwall Stodart Lawyers are currently being pursued by one of its colleagues, Mr. Tony Bulzomi. Mr. Bulzomi alleges that in an 8 month period utilising the services of Cornwall Stodart lawyers, he was charged and paid in excess of $420,000.00
Mr. Bulzomi is currently pursuing them in the Supreme Court and recently advised our office that “enormous delays” are occurring and the matter has had at least 10 to 15 days of being heard and a further 1 to 2 days will now be required in June this year.
Mr. Bulzomi informs us that, if successful and due to the amount of money involved that he has departed with, he will be applying for not only costs, but also interest under the Penalty Interest Rates Act and will pursue this matter vigorously with the Legal Services Commissioner and the media.
Finally, and as a side note, one of Cornwall Stodart Lawyers’ Partners, Mr. Wayne Kelcey, who was a main person in the billing and charging of fees to both Collection Point and Mr. Tony Bulzomi, appears to have recently departed from Cornwall Stodart Lawyers heightening further interest in this matter.
Both proceedings against Cornwall Stodart Lawyers will continue and we will keep you informed as to its progress. Once again, a special thanks to our very thorough and competent Costs Lawyer Mr. John White and our legal team Christopher Bunnett Lawyers.
We will publish a copy of the orders shortly.
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