Notice of objection to bill of costs (Rule 40.25(1)) (Form 130)

Once a Registrar has notified the parties that a taxing officer is to tax a bill of costs (r 40.24), rule 40.25 of the Federal Court Rules 2011 requires a party served with the bill who wants to object to any item to file and serve a notice of objection in accordance with Form 130. The notice must identify each item or part of an item objected to and state, briefly but specifically, why it should be disallowed, the amount by which it should be reduced and any authority relied on. It must be filed and served on the parties interested in the bill not later than 14 days before the date appointed for taxing the bill (r 40.25(2)). The notice fixes the battleground: nothing is taxed off an item that was not objected to (r 40.27(3)(a)).

When you need it

• You have been served with a bill of costs and the Registrar has notified that the bill is to be taxed.
• You want to challenge particular items, for example work that was unnecessary, charged at the wrong rate or not covered by the costs order.
• You want to be able to attend the taxation. If no notice of objection is filed, only the party who filed the bill may attend (r 40.27(1)).

1. 1

   Copy the heading of the proceeding

   Use the file number, District Registry, Division and party names from the proceeding in which the costs order was made (rr 2.13, 2.14).

2. 2

   Opening statement

   Insert your name and role. The form states that you have received notice that a taxing officer is to tax the bill and that you object as set out.

3. 3

   Grounds of objection, item by item

   For each item or part of an item, identify it by its item number, state briefly but specifically why it should be disallowed, the amount by which it should be reduced and any authority relied on (r 40.25(1)). A table with columns for item, objection, reduction sought and authority works well.

4. 4

   Date and sign

   The signature block is for the party's lawyer ("Lawyer for the" party).

• File and serve it on the parties interested in the bill not later than 14 days before the date appointed for taxing the bill (r 40.25(2)).
• File it in the existing proceeding, usually through eLodgment using the file number. Rule 2.21 also allows lodging at a Registry, by post or by fax.
• The party who filed the bill, and any party affected by the objections, must then file and serve a notice of response (Form 131) (r 40.26).

• Be complete. You are bound by your notice: nothing will be taxed off an item you did not object to (r 40.27(3)(a)), and on a later review you cannot raise a ground not taken in the notice (r 40.34(3)).
• Give a figure for each reduction. The rule requires the amount by which the item should be reduced.
• At the taxation you may seek leave to make oral submissions explaining or clarifying an objection (r 40.27(5)).