Court costs and case expenses: how to control them and get reimbursed
Every fee paid by the firm is money that has to come back.
A court fee here, a trip there, a certificate, a certified copy. On their own, they seem small. Added up over the year, they become a significant amount that the firm paid and never got back.
Define in the agreement who pays for what
The fee agreement should state whether expenses are paid directly by the client, advanced by the firm and reimbursed, or included in the fees. Without this clause, every expense turns into a negotiation.
Record it at the time of payment
- Date, amount and description;
- Linked case and client;
- Receipt attached.
Recording it "later" in practice means not recording it.
Separate reimbursable expenses from the firm's own
Rent and software are firm expenses. Court costs and process service for a specific case are reimbursable. Mixing the two distorts the result of each case.
Bill periodically
Send the client a statement of expenses with receipts, monthly or quarterly. In successful cases, deduct them in the final accounting, transparently.
Use expenses in your profitability analysis
Added to the time spent, expenses show the real cost of each case — essential information for pricing similar matters.
How IntegraLegal solves this
In IntegraLegal's Financial Center, each case has its expenses and costs recorded, with documents attached and reimbursable items separated. The case's ROI accounts for everything, and the reports make accounting to the client easy.
Stop losing money on forgotten expenses: try it free for 7 days.
Read also
- Cash flow in a law firm: the no-nonsense guide
- Success fees: how to track them from settlement to payment
- Client late payments: 6 measures to reduce them without losing the client
Notice: this content is for information only. It does not replace a lawyer's analysis of the specific case. Always check the legislation, case law and rules in force on the date of your consultation.
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Articles written by the IntegraLegal team on legal practice, law firm management and technology applied to the legal profession.
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