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The Attorney's Office Tools


the average lawyer in that field), still provide a description of the service and time spent and then show a "n/c" for a "no charge" on the bill, or show a discount (either in a percentage or a dollar amount) right on the bill and call it a "professional courtesy." If you know you committed an error, even one that is not fatal to the case, cut or waive your fee before being asked to do so, in order to show accountability and contrition. Always carefully proof-read and edit your bills before they are mailed, because you can be sure that some of your clients will scrutinize your bills again and again. To encourage payment of your bills, consider accepting


payment by credit cards, both at your office and through your website, and have a message on each of your bills advising your clients of that payment method. Also, you may arrange to bill a client’s credit card on a regular basis with his or her written pre-authorization. Your bills can also provide incentives, such as offering discounts for early payment, and if your retainer agreement so provides, charge interest as a finance charge on overdue balances. Also, if you use "evergreen retainers," have your bills clearly show your client’s obligation to replenish the retainer and to what amount.


Collecting Your Accounts Receivables (Your Clients’ Past-Due Balances)


Te first trick, of course, is never to allow a client to


accrue a high outstanding balance; require a sufficient initial retainer, utilize "evergreen retainers," and timely request clients to replenish their balances when necessary. Working against busy attorneys in this endeavor is the fact that most attorneys rarely set aside the time to effectively monitor all of their clients’ accounts, not to mention the fact that only in the practice of law is a professional sometimes required to continue providing services even after a client has long since stopped paying. Be as motivated to monitor the status of your current clients’ fees as you are to obtaining new clients and keeping up with case work. Tere is a difference of opinion as to whether the lawyer


should call the client him or herself about past-due balances or whether he or she should delegate that task to a lower- billing associate or staff person. I believe that it is far more effective for the lawyer to call; he or she is the one most familiar with the services provided, and it sends a strong message to the client that outstanding balances are not taken lightly. During a phone call in which a payment is requested, it is important that the lawyer also discuss any outstanding substantive matters, so that the client does not feel as if the lawyer is only concerned with being paid. On the other hand, it is most important that the call is made as soon as a balance starts accruing, and if the only way that this task will actually be done is to delegate it, then do so, but be sure to have a very


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