The Jammu & Kashmir and Ladakh High Court has ruled that a lawyer cannot claim any share out of the fruits of litigation from his/her client as fee.

The Court was hearing a case where a litigant alleged that her lawyer had been pressuring her to pay a portion of the compensation awarded to her in a case as professional fees. The litigant informed the Court that she had been granted Rs. 13.5 lakhs as compensation by a Lok Adalat in September 2023, which was then deposited with a Motor Accidents Claims Tribunal (MACT) at Kathua, pending release to her. However, she further stated that her lawyer was demanding a certain percentage of this compensation amount as a fee, leading to a dispute between them.

The Bench of Justice Sanjay Dhar said, "The counsel cannot claim any share out of the fruits of litigation from his/her client as fee and if at all such a thing has happened, it is a case of professional misconduct on the part of the counsel."

The Court also said that such a conduct is not expected of a person belonging to legal profession.

The Court took a stern stance on these allegations of the litigant, considering it highly objectionable if a tribunal were to withhold compensation due to a dispute over counsel fees. "If on account of a dispute between the claimant and her counsel regarding professional fee, the Tribunal is not releasing the amount deposited pursuant to the award of the Lok Adalat in favour of the rightful claimants, the same is highly objectionable. A court or a Tribunal is not expected to become a party to the dispute about counsel fee between a litigant and his lawyer," it said.

Consequently, the Court directed the MACT to release the compensation amount to the rightful claimant without delay upon her application, stressing that Courts or Tribunals should not become embroiled in disputes between litigants and their lawyers regarding professional fees.

"In view of the above, a direction is passed to the Motor Accidents Claims Tribunal, Kathua to release the amount deposited with it pursuant to Lok Adalat Award dated 09.09.2023 passed in Claim Petition, titled, ‘Munni and ors. Vs. Sunny and ors’ in favour of the rightful claimant(s) in accordance with the law. Needful shall be done by the learned Tribunal immediately when the claimants approach the said Tribunal," the Court ordered.

Cause Title: Munni v. Presiding Officer Motor Accident Claim Tribunal Kathua [WP(C) No. 682/2024]

Appearance:

Petitioner: Advocate Gagan Oswal

Click here to read/download the Order



Justice Sanjay DharJammu & Kashmir & Ladakh High Court

Sukriti Mishra