delivered the opinion of the Court.
The case is here on
certiorari
to the Circuit Court of Appeals for the First Circuit which affirmed,
This case is another phase of a litigation that has been here before,
Ticonic Bank
v.
Sprague,
Petitioner alleged that, by vindicating her claim to a lien on the proceeds of the earmarked bonds to the amount of her trust funds, she had established as.a matter of law the right to recovery in relation to fourteen trusts in situations like her own; that she had prosecuted the litigation solely át her Own expense; that although the total assets of the bank were not sufficient to satisfy the unsecured creditors, the proceeds of the bonds were more than sufficient to discharge all trust obligations; and she therefore prayed the court for reasonable counsel fees and litigation expenses to be paid out of the proceeds of the bonds.
The District Court held that it “had no authority to grant the petition” on the ground that, after the appeal from its decree in 14 F.' Supp. 900, it “had no further function to perform other than to carry out the mandate of the Supreme Court when received. The mandate from *164 the Supreme Court simply had the effect of directing this court to carry out the mandate of the Circuit Court of Appeals which in turn, simply, in effect, required this court to execute its original final decree by issuing its execution for a certain sum of money with costs of both courts.” The Circuit Court of Appeals affirmed “for the reasons stated” by the District Court, and “for the further reason that the term of court at which the decree was entered, when the petition to amend was filed, had long since passed . . .” .Obviously, both courts disposed of the petition not as a considered disallowance of attorney’s fees and litigation expenses in the circumstances of the particular suit but because they deemed award of such costs beyond the power of the District Court.
Whether action by the District Court on the merits of the petition was foreclosed by this Court’s mandate in Ticonic Bank v. Sprague, supra , and was .further limited by restrictions which terms of court may impose, are questions subsidiary to the power of federal courts in equity suits to allow counsel fees and other expenses entailed by the litigation not included in the ordinary taxable costs recognized by statute.
Allowance of such costs in appropriate situations is part of the historic equity jurisdiction of the federal courts. The suits “in equity” of which these courts were given “cognizance” ever since the First Judiciary Act, constituted that body of remedies, procedures and practices which theretofore had been evolved in the English Court of Chancery,
1
subject, of course, to modifications
*165
by Congress*
e.
g.,
Michaelson
v.
United States,
That the party in ,a situation like the present neither purported to sue for a class nor formally established by' litigation a fund available to the class, does not seem to be a differentiating factor so far as it affects the source of the recognized power of equity to grant reimbursements of the kind for which the petitioner in this case appealed to the chancellor’s discretion. Plainly the foundation for the historic practice of granting reimbursement for the costs of litigation other than the conventional taxable costs is part of the original authority of the chancellor to do equity in a particular situation. 5 *167 Whether one professes to sue representatively or formally makes a fund available for others may, of course, be a relevant circumstance in making the fund liable for his costs in producing it.. But when such a fund is for all. practical purposes created for the benefit of others, the formalities of the litigation — the absence of an avowed class suit or the creation of a fund, as it were, through stare decisis rather than through a decree — hardly touch the power of equity in doing justice- as between a party and the beneficiaries of his litigation. As in much else that pertains to equitable jurisdiction, individualization in the exercise of a discretionary power will alone retain equity as a living system and save it from sterility. In the actual exercise of the power to award costs “as between solicitor and client” all sorts of practical distinctions have been taken in distributing the costs of the burden of the litigation. 6 And so, the circumstances under which the petitioner enforced the fiduciary obligation of the Ticonic Bank — the relation of its vindication to beneficiaries similarly situated but not actually before the court, as well as the interest of the common creditors where the funds of the bank are not sufficient to pay them in full, and doubtless .other considerations — must enter into the ultimate judgment-of the» District Court as to the fairness of making an award, or the extent of such award, “as between solicitor and client” in this case. In any event such allowances are appropriate only in exceptional cases and for dominating reasons of justice. But here we are concerned solely with the power to entertain such a petition.
Without considering the historic authority of a court of equity in such matters,- the District Court deemed itself
*168
powerless because foreclosed by the mandate m
Ticomc Bank
v.
Sprague, supra.
The general proposition which moved that Court — that it was bound to carry the mandate of the upper court into execution and could not consider the questions which the mandate laid at rest— is indisputable. Compare
Kansas City Southern Ry. Co.
v.
Guardian Trust Co.,
Finally, we must notice the separate ground taken by the Circuit Court of Appeals on the basis of what it deemed the requirements of terms of court. The new Rules of Civil Procedure have rendered anachronistic the technical niceties pertaining to terms of court as to both law and equity, 9 but the- ruling of the District Court here *170 in question was made prior to the operation of the new Rules. Since we view the petition for reimbursement as an independent proceeding supplemental to the original proceeding and not a request for a modification of the original decree, the suggestion of the Circuit Court. of Appeals — that it came after the end of the term at which the main decree was entered and therefore too late — falls.
The decision of the Circuit Court of Appeals must be reversed so that the District Court may entertain the petition for reimbursement in the light of the appropriate equitable considerations.
Reversed.
Notes
See
Robinson
v.
Campbell,
See Lomax v. Hide, 2 Vern. 185; Ramsden v. Langley, 2 Vern. 536; Attorney General v. Carte, 1 Dick. 113; Attorney General v. Haberdashers’ Co. and Tonna, 4 Brown C. C. 179; Ex parte Thorp, 1 Ves. Jun. 394; Moggridge v. Thackwell, 1 Ves. Jun. 464; Dungey v. Angove, 2 Ves. Jun. 304. See 2 Adair, Law of Costs in Courts of Equity, 81, 87, 179; 2 Barbour, Chancery Practice (2d ed.) 889-894; Beames, Costs in Equity (2d ed.) 144-146; 3 Daniell’s, Chancery Pleading and Practice (2d ed.) 1434r-35; 2 Smith, Chancery Practice (2d ed.) 697-700. One must, of course, be not unmindful of the inadequacy of eighteenth-century chancery reports, see 2 York, Life of Lord Chancellor Hardwicre 429, particularly as to matters of costs. See Beames, Costs in Equity (Advertisement to Second Edition). But the current of authority is uniform and unequivocal. -
The power of the federal courts to give costs was recognized by implication in the First Judiciary Act. Act of September 24, 1789, Ch. 20, § 20, 1 Stat. 83. The statutory-system prior to 1853 required “party and party” costs to be taxed on the basis of the fees allowed by state practice, but the Act of Feb. 26, Í853, Ch. 80, 10 .Stat. 161, set a uniform scale of fees for “party and party” costs in the federal courts. See Costs in Civil Cases,
E. g., Tootal v. Spicer, 4 Sim. 510; Hood v. Wilson, 2 Russ. & M. 687; Stanton v. Hatfield, 1 Keen 358; Sutton v. Doggett, 3 Beav. 9; Goldsmith v. Russell, 5 De. G. M. & G. 547; Henderson v. Dodds, L. R. 2 Eq. 532; Ferguson v. Gibson, L. R. 14 Eq. 379; Jervis v. Wolferstan, L. R. 18 Eq. 18.
E. g., Thomas v. Jones, 1 Dr. & Sm. 134; compare In re Richardson, 14 Ch. Div. 611.
For examples of the discretiohary nature of the authority of equity to tax' costs, see,S Daniell’s, Chancery Pleading and Pkac- *167 tics (2d ed.) 1381-1410; 2 Street, Federal Equity Practice §§ 1994r-2007.
See 3 Daniell’s, ChaNcery PleadiNG and Practice (2d ed.) 1434r-1440; 2 Street, Federal Equity Practice §§ 2033-2048.
In Kansas City Southern Ry. Co. v. Guardian Trust Co., supra, costs “as between solicitor and client” had been asked in suggestions on appeal from the original disposition of the cause. The Circuit Court of Appeals, while affirming on the merits, passed on these suggestions in a way interpreted by this Court to allow only “party and party” costs. No appeal had been taken on this point. A subsequent application in. the District Court for “solicitor and client” costs was therefore held barred.
In Trustees v. Greenough, suit was brought by a holder of certain bonds- against the trustees of the .state improvement fund alleging mismanagement and waste of the fund which was to secure the bonds and asking that his claim be allowed, that the fund be charged with the payment thereof, and that an accounting be had. This relief was granted, much property was reclaimed to the fund and agents were appointed for the sale of the property of the fund for the purposes of liquidation. During the liquidation, the holder of the bonds who had initiated the proceedings filed his petition for an allowance from the fund of his costs as between solicitor and client. Such costs were allowed without any suggestion'that the application for them was not timely.
Prior to the adoption of the new Rules of Civil Procedure, a final decree in a suit in equity could be revised only during the term of court of its entry.
Cameron
v.
M’Roberts,
