The section 150 notice
On receiving instructions, a legal practitioner must provide a costs notice in language the client can understand. If the costs cannot reasonably be stated at that point, the notice must explain their calculation. Further information must follow when the figure can reasonably be provided.
The notice addresses costs already incurred, certain or likely future costs, VAT and the basis of calculation. Where litigation is involved or likely, it also addresses the work and costs at different stages, potential involvement of other providers, withdrawal and costs risks involving other parties.
A document you can ask about
Read the notice alongside the description of the work you have asked the solicitor to undertake. Mark anything unclear: an unfamiliar term, an excluded expense, a payment date or a condition that might apply later. The solicitor must provide clarification as soon as reasonably practicable when requested.
A written agreement under section 151 may contain all the particulars required by section 150(4). If it does, a separate section 150 notice is not also required. The document’s content matters more than its heading.
Changes during the matter
If a factor makes the likely costs significantly greater than previously disclosed, a new notice is required. Keep the original and the update, and ask which assumption has changed. For example, the need for additional expertise may raise different costs questions from those considered at the outset.
Time to consider and the final bill
The notice specifies a consideration period of no more than ten working days. Work may proceed earlier with the client’s confirmation, and statutory exceptions apply. Do not assume that every matter automatically pauses for ten days.
At the conclusion, the bill records the charges and relevant recoveries, subject to the rules governing written costs agreements. It must also be accompanied by information about disputing the bill. Keep those documents together with the earlier costs information.
Sources and further reading
- Section 150: Written notice, updates and clarification
- Section 151: Agreements containing costs particulars
- Section 152: Bill of costs and dispute information
- LSRA: Your legal costs duties
Sources checked: 27 October 2026.
Page prepared: 27 October 2026.