Is a solicitor’s lien attached to the fund?

Alberta, Canada


The following excerpt is from McCready Products Ltd. v. Sherwin-Williams Company of Canada Ltd., 1986 CanLII 1616 (AB QB):

These three respondents claim that the solicitor’s lien cannot be attached to the fund due to the assignments made to them by McCready. Although at common law the solicitor’s lien could attach only to the interest of the client in the fund, such is not the case with the statutory lien. The statutory lien is in the nature of salvage and both the wording of R. 625(2) and case authority support the proposition that a solicitor’s lien has priority over the claims of any creditor. The rule is well stated in Dallow v. Garrold (1884), 13 Q.B.D. 543 at 546: But as a general rule it is clearly laid down by the cases that all persons of business when dealing with a fund obtained by litigation must be assumed to be aware that the fund is to be considered as subject to the deduction of the costs to be paid to the solicitor who has conducted the litigation which is successful.

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