Alec Shand v Jackson McDonald ... Excessive and unreasonable fees ... Law firm refuses to cough-up for Laurie Connell defence ... Charging for time not worked ... Unprepared ... Scandalous, even for a second-hand car dealer ... Gouging the rich ... Stephen Archer on hand ... From Justinian's archive, September 1999
Shand QC: billing for time off (pic. SMH)
JUSTICE Christine Wheeler has reserved in the recovery of fees action brought by Alec Shand QC against Perth law shop Jackson McDonald.
Shand is suing the partners of Jackson McDonald for $750,000 in unpaid fees, plus interest.
Shand was retained by the firm to defend Laurie "Last Resort" Connell on race fixing charges in 1993 and 1994.
He represented Connell at a four month committal and a six month District Court trial. Connell, who was found guilty of conspiring to pervert the course of justice, and jailed. He died in February 1996 during the Rothwells conspiracy trial.
The Mosman based QC has already been paid $1.3 million in legal fees by Jackson McDonald, but the firm has refused to cough-up the $750,000 balance.
Wayne Martin QC, for Shand, told the court that his client's fees had been agreed at $7,000 a day plus expenses, first class air travel from Perth to Sydney every weekend, and accommodation at the Hyatt hotel of $350 a night.
Shand said the $7,000 fee was to be paid per day, regardless of the number of hours worked. He told the court:
"On all occasions when I am asked for my fee, I merely say so much per day."
The partners of Jackson McDonald admitted that they held sufficient funds to pay the barrister's fees, but said they chose not to pay them, claiming they were excessive and unreasonable.
There were also instructions from Mrs Elizabeth Connell not to disburse funds to Shand and to continue to seek to have his fees reviewed by the court.
The firm said that Shand charged for days he didn't work. Jackson McDonald partner Neil Gentilli, gave evidence that near the end of the trial, Connell had complained about this. The firm also contended that barristers cannot sue for unpaid fees.
Gentilli said that his understanding of the agreement was that Shand should not be paid simply because he was in Perth, but not working.
Stephen Archer, junior to Shand for the Connell trial, was to be paid $4,000 a day. He was not fully paid but settled with the firm for a reduced amount.
He said that in July he received a telephone call from Shand who asked: "So you are going to stab me in the back?"
Archer said that he replied: "No, I'm not, but I'm not going to commit perjury, either."
The West Australian reported that Archer explained that he had refused to make a statement to the effect that when the court was not sitting Shand worked on the brief, and that when the court sat for only part of the day, the QC worked on the matter for the remainder of the day.
Archer said that he had looked at Shand's fee and that he felt that he had charged for 20 days when he had done no work on those days.
Archer: chambers too small for all the tempers and egosOn some days during the trial Archer also felt that Shand was ill-prepared. He would turn up just minutes before proceedings opened and in the evening, after a couple of glasses of wine, would head for the hotel at 6pm.
Archer said he had prepared the closing address to the jury of 500 pages which Shand read out in court, typing errors and all.
He agreed with Wayne Martin that he could not know what work Shand did in his hotel room, or on flights between Sydney and Perth.
Archer also lashed out at Jackson McDonald, saying that he thought Neil Gentilli had displayed "ineptitude" in letting his relationship with Archer deteriorate "to rock bottom".
He described the firm's behaviour in not paying fees as "scandalous" and "behaviour which would be disgraceful if engaged in by second-hand car dealers".
According to a report in The West Australian he also said that his chambers in Perth had not been big enough for all the tempers and egos of the people involved in the case, and that serious errors of judgment were made during the defence case.
Malcolm McCusker QC, for Jackson McDonald, cross examined Shand about a lengthy lunch in February 1994 at Connell's home which included the QC, his wife, Archer and his wife, where "excellent French wine" had been consumed. Shand said:
"I don't have that degree of memory, but I'm sure it (the wine) was well chosen."
McCusker said that the eating and drinking was still going at 6.30pm, but Shand thought the food and French wine had finished by then.
Shand billed $5,600 for that day, or four-fifths of a full day's work. He said that he did the work from 7am to 11am, as well as attending a conference with Connell, and for a "few more hours work" done in his hotel after the lunch.
To McCusker's suggestion that "not very good value would be had in those hours after drinking all that wine," Shand replied: "I thought you would be suggesting I was inspired by the quality of the wine."
Shand said that he had discarded the notes from which he made up his daily account, and that a few of the items may be inaccurate.
Shand was cross-examined about a telephone call from his hotel room to one of his partners in an exploration company, and for charging $4,000 to read a book (which Shand maintained was relevant to the trial).
There was evidence that Connell wanted the preliminary hearing on the race-fixing charges spun out as long as possible. The issue was raised at a meeting that included Tom Hughes QC, who said: "Well, young Alec could talk the ears off a horse."
When cross-examined on another occasion over a $7,000 fee for the day on which Connell was jailed and court finished by 11.33am, Shand said he had spent another hour with Connell before flying to Sydney.
McCusker put it to Shand that he had nothing to do on the plane that day.
"Except lick my wounds," he replied.