The family of corrupt former Labor powerbroker Eddie Obeid is refusing to pay a $750,000 legal bill owed to their long-term solicitors Colin Biggers & Paisley.

''I am disappointed we supported our client through a matter and they are choosing not to pay our fees, despite the tremendous support we gave them,'' the firm's managing partner Dunstan de Souza said.

Letter "not binding": Moses Obeid. Credit:Stephanie Kelly

CBP represented Mr Obeid's son Moses and his company Streetscape in a lengthy multimillion-dollar court battle with the City of Sydney, at the end of which Streetscape was ordered to pay $16 million to the council. Moses Obeid's own personal liability for the debt has been ordered back to court for a re-trial.

The NSW Supreme Court heard last month that in July 2010, the Obeid family's corporate vehicle, Obeid Corporation, provided a letter to CBP that stated Obeid Corp ''is acutely aware of the outstanding amount and confirms to you that all costs pertaining to the legal action with the City of Sydney will be guaranteed by [Obeid Corp].