What is the allowable "collection cost" that can be added to a debt collection? The law says reasonable atty fees & collection cost. What is reasonable?
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Read More Answered By: Philip Duvalsaint |
There is no precise definition. If you propose a certain cost, then I could tell you whether I thought it is reasonable. Usually this means that if the prevailing rate for attorney's in that part of the state for that type of work is $250/hour, then your attorney can't ask for $500/hour for the same work. More importantly, you can only get an award of attorney's fees if you had a licensed attorney representing you. Costs must be applied for as well. Experience will inform attorneys as to whether a particular cost is reasonable. |
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