Wayne Carey’s lawyer Josh Bornstein in $176k no win, no fee bill stoush
Wayne Carey’s former lawyer is embroiled in an investigation into a disputed $176,000 bill for a “no win, no fee” case.
National
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Wayne Carey’s former lawyer is embroiled in an investigation into a disputed $176,000 bill for a “no win, no fee” case.
Josh Bornstein, who represented the former AFL star in his fight against Crown Casino in Perth, has been caught up in a complaint issued to the firm about the bill in a separate case.
Maurice Blackburn Lawyers’ chief executive Jacob Varghese ordered a probe into claims made about the bill in a “formal complaint” letter sent to the legal company’s board.
Mr Bornstein had ended the relationship with the client, allegedly saying he believed the case was “unwinnable” after a dispute about strategy.
“However, less that three weeks after he made these statements, my new legal team achieved a settlement after immediately ripping up Mr Bornstein’s draft settlement deed and starting mediation from scratch,” the complaint letter to the board, dated July 5, 2023, said.
“(The firm) could not achieve a settlement throughout three and a half months of mediation, yet my new legal team achieved a settlement in their first and only day of negotiation.
“Your firm made no contribution to achieving a win in my legal matter, and sadly it showed no evidence that it was capable of winning in my particular case.”
It is understood that this allegation is strongly denied by the firm.
The client was billed the client $176,755.23, which included a charge of $57.50 to open an email.
Debt collectors also contacted the client after the case was won by the new legal team.
An email from David Halstead, senior executive of client liaison at Maurice Blackburn Lawyers, confirmed an investigation.
“The CEO of Maurice Blackburn, Jacob Varghese, has asked me to investigate the complaint you raised with the letter and documents accompanying your email to him and others of July 5,” Mr Halstead wrote on July 10, 2023.
A further email was sent on July 12 seeking clarification of 14 points raised by the client, whom this masthead has chosen not to name, in their letter.
Maurice Blackburn Lawyers declined to comment on the case, citing client confidentiality.
A letter from Mr Bornstein to the client argued that the client had “refused to follow our advice”.
“We have always acted in your best interests and have not been motivated by any other factor,” Mr Bornstein said in the letter.
The bill was reduced to $135,000, removing the “uplift” – a bonus lawyers can charge in no win, no fee cases.
Mr Bornstein is one of Australia’s highest profile employment lawyers, with more than 20 years experience.
He acted for Carey, a North Melbourne premiership player, when the star was accused of dropping a clear plastic bag containing a powder substance at Crown Casino in Perth in 2022.
Carey claimed the bag contained anti-inflammatory medication used to treat a football injury.
The law firm said in a statement at the time: “Wayne Carey has retained leading workplace lawyer Josh Bornstein from Maurice Blackburn Lawyers to investigate a possible disability discrimination claim against Perth’s Crown Casino after the AFL great was required to leave Crown’s premises last Thursday night.”
The claim was later dropped, with Carey also parting ways with Channel 7 where he had worked as a football commentator.
Mr Bornstein also represented Sally Rugg in her employment dispute with Teal MP Dr Monique Ryan.
The complaint in the current matter raises questions about the fine print in Maurice Blackburn Lawyers’ heavily marketed “no win, no fee” billing structure.
The company, which ran a long term marketing slogan “we fight for fair”, says on its website that it was “committed to providing cost-effective access to justice for all Australians”.
“We offer ‘no win, no fee’ legal services when appropriate and when we believe that your case is reasonably likely to be successful,” the website says.
“’No win, no fee’ only applies to our professional fees (the fees we charge for work performed by us). In most cases, disbursements (the out of pocket expenses that we pay to other people) must be paid whether you win or lose.”