Short answer: Party and party costs are the legal costs a Singapore court orders one side to pay the other, usually the loser to the winner. The judge normally fixes the amount at the end of the hearing; otherwise a Registrar assesses a bill of costs, filed within 12 months. The costs then carry interest at 5.33% a year until paid.
Winning a civil case is only part of the job: someone still has to put a figure on the costs and collect them, and a company ordered to pay needs to know how the amount is set. This guide explains party and party costs in Singapore: how they differ from your own lawyer’s bill, when the court fixes them and when they go to assessment (formerly called taxation), the deadlines, interest, enforcement and what your finance team should prepare.
Key facts at a glance
- Costs are in the court’s discretion, and the court must generally order costs in favour of a successful party (Rules of Court 2021, Order 21, Rules 2(1) and 3(2)).
- Party and party costs must be fixed by the court that heard the matter, after oral or written submissions, unless it directs an assessment (Order 21, Rule 2(3)).
- Costs ordered to be paid between parties are assessed on the standard basis unless the court orders the indemnity basis (Order 21, Rule 22(1)).
- A bill of costs for assessment must be filed within 12 months after the whole case, including any appeal, is finally disposed of, unless the court orders otherwise (Order 21, Rule 17).
- A party unhappy with the Registrar’s decision on any item may apply to a Judge for review within 14 days (Order 21, Rule 27).
- Assessed, fixed and agreed costs carry interest at 5.33% a year from the date of assessment, order or agreement until payment (Order 21, Rule 29).
Raffles Corporate Services works with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice. This article is general information only and is not legal advice.
What are party and party costs in Singapore?
Party and party costs are the costs one party to a case is ordered to pay to another. They are a contribution towards the winner’s legal spend, set by the court, not a refund of the winner’s actual legal bill.
Order 21 of the Rules of Court 2021 defines “costs” to include fees, charges, disbursements, expenses and remuneration (Rule 1(2)). No party can recover costs from another party except under an order of the court (Rule 3(1)). In most civil cases costs follow the event: the court must order the costs of the proceedings in favour of the successful party unless the circumstances call for a different order (Rule 3(2)).
Solicitor and client costs are different. They are what your own law firm charges your company under its engagement terms. The Singapore Courts’ guide to costs and costs orders explains that the winner uses the party and party costs it receives to cover part of its solicitor and client costs, while the loser pays the party and party costs on top of its own lawyer’s fees. If your dispute is with your own law firm’s invoice, that is a separate process, covered in our guide to disputing a lawyer’s bill in Singapore.
A winner can still lose costs. Under Rule 4, the court may reduce or disallow them, or order the winner to pay costs, if it failed on issues it raised, acted unreasonably, ignored its Order 5 duty to consider amicable resolution, or breached a court order or practice direction.
What is the legal basis for fixing and assessing costs?
The rules are in Order 21 of the Rules of Court 2021, supplemented by the Supreme Court Practice Directions 2021 (Part 15) and the State Courts Practice Directions 2021 (Part XIV).
| Provision | What it says |
|---|---|
| Order 21, Rule 2(1) and (2) | Costs are in the court’s discretion; factors include efforts at amicable resolution, complexity, the solicitor’s skill and time, conduct, proportionality and the stage at which the case ended |
| Rule 2(3) and (4) | Costs between parties are fixed by the court that heard the matter unless it directs an assessment; costs are payable from the date of the order unless the parties agree otherwise |
| Rule 10 and Appendix 1 | Fixed costs for set situations, such as default judgment, summary judgment and enforcement |
| Rules 17 to 28 | The bill of costs, the assessment, the Registrar’s certificate and review by a Judge |
| Rules 22 and 29 | Standard and indemnity bases; interest on costs at 5.33% a year |
| Supreme Court Practice Directions 2021, paragraphs 131 to 138 | Form of bills, objections, costs schedules and the costs guidelines in Appendix G |
| State Courts Practice Directions 2021, paragraphs 102 to 107A | Form of bills, objections and the District Court costs guidelines in Appendix H |
When does the court fix costs, and when does it order an assessment?
Fixing is the default. The judge usually decides who pays and how much at the end of the hearing or trial, and an assessment by a Registrar is the exception, ordered when the court thinks fit.
Paragraph 136 of the Supreme Court Practice Directions 2021 tells counsel to be ready to make costs submissions at the end of a hearing or trial. In trials of originating claims, and originating applications with cross-examination, each party files a costs schedule in Form B34 with its closing submissions, setting out the costs and disbursements it will claim if it wins, and the court takes it into account (paragraph 137).
Some amounts are set by the Rules themselves. Under Rule 10, the costs in Appendix 1 to Order 21 apply unless the court orders otherwise. Examples include:
| Situation (Appendix 1) | High Court | District Court | Magistrate’s Court |
|---|---|---|---|
| Defendant pays the amount claimed within the time required (Part 2, paragraph 2(a)) | S$2,000 | S$1,500 | S$800 |
| Final judgment in default of a notice of intention to contest or defence (paragraph 2(b)) | S$2,300 | S$1,800 | S$1,000 |
| Unconditional summary judgment, or a summary judgment application dismissed or unconditional permission to defend given (paragraph 2(c)) | S$4,000 to S$15,000 | S$3,000 to S$10,000 | S$2,000 to S$6,000 |
| Application to enforce a judgment or order (Part 4, paragraph 6) | S$5,000 (General Division) | S$3,000 | S$1,000 |
These figures exclude disbursements. Other Magistrate’s Court cases have their own scale in Part 5 of Appendix 1.
For contested cases, solicitors refer to the costs guidelines in Appendix G to the Supreme Court Practice Directions and, for District Court cases, Appendix H to the State Courts Practice Directions. Both are only a general guide, and the court may depart from them (Supreme Court PD paragraph 138; State Courts PD paragraph 107A).
How does assessment of party and party costs work, step by step?
If the court orders costs “to be assessed if not agreed”, the receiving party’s solicitor files a bill of costs and a Registrar decides the amount at an assessment hearing. Court proceedings, including the assessment, are conducted by a Singapore Advocate and Solicitor for the company.
- Try to agree the figure. An agreed sum avoids the hearing and carries interest from the date of agreement (Rule 29(1)(c)).
- File the bill of costs within 12 months after the entire cause or matter, including any appeals, is finally disposed of, unless the court orders otherwise (Rule 17).
- Notice of the hearing. The Registrar gives the filing party at least 14 days’ notice of the date and time for assessment (Rule 18).
- Serve the bill. Within 2 days after receiving that notice, the filing party must send a copy of the bill to every other party entitled to be heard (Rule 19(1)).
- Paying party’s offer, if any. Within 14 days after receiving the bill, the paying party may make a written offer “without prejudice except as to the costs of the assessment of costs”, which the Registrar may consider when deciding who pays for the assessment (Rule 13(2) and (3)).
- Objections. The paying party files and serves a Notice of Dispute setting out objections in principle or as to amount: at least 14 days before the assessment date in the Supreme Court (Form B33, PD paragraph 133), or at least 7 days before in the State Courts (Form 28, PD paragraph 105), where solicitors must also confer beforehand to narrow the items in dispute.
- Assessment hearing. The Registrar applies the standard basis unless the indemnity basis was ordered, and may ask for full details supporting the sums claimed.
- Certificate and review. The solicitor applies for the Registrar’s certificate (Rule 25), which is conclusive as to the amount allowed unless set aside (Rule 26). Any party dissatisfied with the decision on an item may apply by summons to a Judge within 14 days (Rule 27).
On the standard basis, a reasonable amount is allowed for costs reasonably incurred, with doubts resolved in favour of the paying party; on the indemnity basis, doubts favour the receiving party (Rule 22(2) and (3)). The party whose bill is assessed is generally entitled to the costs of the assessment (Rule 13(1)).
What goes into a bill of costs, and which documents are needed?
A bill of costs has three sections, and the Registrar needs enough information to apply the Rule 2(2) factors. Under Rule 20, the bill sets out work done in the case, work done for the assessment, and every disbursement item by item.
| Item | Requirement | Source |
|---|---|---|
| Section 1: work done in the case | One global sum; may include work on settlement negotiations | Order 21, Rule 20(1), (2) and (6)(f) |
| Section 2: work done for and in the assessment | One global sum | Rule 20(1) and (2) |
| Section 3: disbursements | Each disbursement listed with its amount, such as court fees, expert fees and service costs | Rule 20(1)(c) and (2) |
| Narrative and particulars | A succinct narrative of the legal and factual issues; numbers of attendances, calls and letters and, where possible, hours; any costs already awarded for listed events | Rule 20(6) |
| GST | The GST claimed; GST registration numbers of the solicitors and receiving party, and the percentage of input tax the receiving party cannot claim as a credit, or GST is presumed not to be claimed | Rule 20(3); Supreme Court PD paragraph 131(5); State Courts PD paragraph 103(5) |
| Prescribed form | Supreme Court: Form B30 (trials) or B31 (other work such as appeals or applications). State Courts: Form 25 or Form 26 | Supreme Court PD paragraph 131(3); State Courts PD paragraph 103(3) |
| eLitigation pages | S$0.40 per page filed through the Electronic Filing Service, on top of court fees | Supreme Court PD paragraph 134; State Courts PD paragraph 106 |
Your company supplies the law firm’s invoices, disbursement receipts and its GST position. Court filing fees are explained in our guide to court fees in Singapore.
How long does it take, and how much of your legal bill will you recover?
Fixed costs are decided on the day; an assessment adds at least several weeks. Recovery on the standard basis is usually only part of what your company paid its own lawyers.
| Stage | Timing | Cost and recovery points |
|---|---|---|
| Costs fixed at the hearing | End of the hearing or trial, or by written submissions | Supported by the costs schedule |
| Assessment | Bill filed within 12 months after final disposal; hearing on at least 14 days’ notice | Preparing the bill is itself claimed in Section 2 |
| Review by a Judge | Within 14 days after the Registrar’s decision | Further costs risk for both sides |
| Interest | From assessment, order or agreement until payment | 5.33% a year |
Assumptions: a civil case under the Rules of Court 2021 with legally represented companies; the court may give different directions. The Singapore Courts give the example of costs fixed at S$60,000, which represents what the court considers fair, reasonable and proportionate, not full recovery of what the winner spent. Budget on that basis. Interest on judgment sums and costs is covered in more detail in our guide to post-judgment interest in Singapore.
What does the company secretary prepare, and what does the solicitor file?
Your company secretary, finance team or corporate service provider (CSP) assembles the evidence of what the company spent and records the outcome; a Singapore Advocate and Solicitor makes the costs submissions, files the bill or Notice of Dispute and appears before the Registrar.
| Company secretary, finance team or CSP | Singapore Advocate and Solicitor |
|---|---|
| One file per case with every law firm invoice, payment record and disbursement receipt | Costs schedule (Form B34) and costs submissions at the end of the hearing |
| Confirmation of the company’s GST registration and input tax recovery position | Drafting and filing the bill of costs in the prescribed form |
| Directors’ resolution authorising settlement of costs, or enforcement if they are unpaid | Negotiating an agreed figure or a Rule 13(2) offer |
| Diary of deadlines: 12-month filing period, assessment date, 14-day review period | Notice of Dispute, assessment hearing and any review by a Judge |
Raffles Corporate Services does not give legal advice or act in court; a law firm from our panel handles the proceedings. If you are unsure whether to accept a costs offer, speak to a lawyer before the deadline passes.
What happens after costs are fixed or assessed?
The paying party must pay, with interest accruing at 5.33% a year until it does. If it does not, the costs order can be enforced like any other order for payment of money.
Order 22 of the Rules of Court 2021 defines a “court order” to include any order for the payment of money, including costs (Rule 1). The company may apply without notice for an enforcement order in Form 38 not earlier than 3 days after the order has been served (Rule 2(3)). The methods, from seizure and sale to attachment of bank balances, are covered in our guide to enforcing a court judgment against a Singapore company.
If the other side is still litigating against you, the court may stay or dismiss its application, action or appeal if it does not pay costs ordered within the time set (Rule 2(6)). Where each side owes the other costs, the court may set them off (Rule 2(5)).
No ACRA lodgement is needed because a costs order is made or paid. Record the receivable or payable in the accounts, keep the order and the Registrar’s certificate with the invoices, and track interest. Our free tools help with related filing dates.
What are the common mistakes with party and party costs?
Most come from treating costs as an afterthought to the judgment.
- Expecting full recovery, and not having the figures ready for costs submissions at the hearing.
- Missing the 12-month window to file a bill of costs after the case, including appeals, is finally disposed of.
- Filing the Notice of Dispute late: 14 days before assessment in the Supreme Court, 7 days in the State Courts.
- Leaving out GST details, so the bill is presumed not to claim GST.
- Suing in the High Court for a claim within State Court limits, which caps costs at State Court levels unless the High Court orders otherwise (Rule 22(5)).
Frequently asked questions
Is taxation of costs the same as assessment of costs?
Yes. “Taxation” is the older term. The Rules of Court 2021, which govern civil claims from 1 April 2022, use “assessment”, and the Registrar’s decision is recorded in a certificate.
Can the losing company challenge the amount of costs?
Yes. If costs are assessed, it files a Notice of Dispute before the assessment and may apply to a Judge for review of any item within 14 days after the Registrar’s decision. If costs were fixed by the judge, ask your solicitor promptly whether any further challenge is available, because appeal deadlines are short.
Are court fees and expert fees recoverable?
They can be claimed as disbursements in Section 3 of the bill of costs, item by item. Whether each is allowed, and in what amount, is for the court or Registrar.
Does interest run on costs?
Yes. Assessed, fixed and agreed costs carry interest at 5.33% a year from the date of assessment, order or agreement until payment. Costs under Parts 1 to 3 of Appendix 1 run from the date of judgment, and costs under Part 4 carry no interest (Order 21, Rule 29).
Need help with this?
Raffles Corporate Services can handle the ACRA filings, compliance documentation and records for you, and where court proceedings or legal advice are needed, we work with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice.
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Last reviewed: 7 November 2026. The Editorial Team, Raffles Corporate Services.