The Queen’s Bench Rules set out a tariff with respect to the “costs” an unsuccessful party has to pay to the successful party at the end of a lawsuit or court action. An award of costs is meant to reimburse the successful party for some of the legal costs that were incurred in having to initiate or defend against a lawsuit. The tariff sets out the amount of costs that need to be paid for each step in the litigation process. On August 1, 2015 the Rules were amended and a new tariff of costs was implemented. The most significant changes to the tariff are as follows:

• The new tariff has three columns rather than five;
• The amount of costs that is payable has increased substantially;
• The number of items that have a specific cost assigned to them has risen from 29 to 42; and,
• There is a tariff specifically for family law which relates only to family law actions.

The three columns under the new tariff provide that the simplest court actions fall under column one and the most complex fall under column three. The reason for the different columns is that the amount of costs under each column goes up depending on the complexity of the court action. For example, under column one the cost associated with preparing a Statement of Claim is $750, under column two it is $1,500 and under column three it is $3,000. (The corresponding amounts under the former tariff were $150 for column one and $500 for column five.) The tariff had not been updated for many years. The rationale for revising it was to make an award of costs more representative of the actual, current cost of litigation. The revised tariff is intended to provide for approximately one third of a litigant’s actual costs, with the costs increasing as the litigation progresses. While this is still not full compensation, it should provide a significant increase from the costs awards typically granted under the former tariff. The revised tariff is also intended to simplify the calculation of costs awards. It is very important to have an understanding of the possible cost award that could be made in your favour or made against you. This will allow you to make a more informed decision with respect to the risks and rewards of taking a matter to trial or settling at an earlier stage in the process.

About McKercher LLP: McKercher LLP is one of Saskatchewan’s oldest, largest law firms with offices in Saskatoon and Regina. Our deep roots and client-first philosophy have made us a top ranked firm by Canadian Lawyer magazine (2011, 2013). Expertise, experience and capacity provide innovative solutions for our clients’ diverse legal issues and complex business transactions. This post is for information purposes only and should not be taken as legal opinions on any specific facts or circumstances.  Counsel should be consulted concerning your own situation and any specific legal questions you may have.