OFFICE DISBURSEMENTS IN THE DUTCH CARIBBEAN
Not always charged at actual cost
Most law firms charge their fees on the basis of hourly rates, which are determined by the seniority of the attorneys involved. It is also standard practice for Netherlands Antilles law firms to charge office disbursements separately as a percentage, e.g. 6%, of their legal fees. Such disbursements comprise, amongst other things, phone and fax costs, secretarial support, including overtime, and photocopying.
Only specific expenses and disbursements, e.g. bailiff costs, court costs, courier costs, translation costs and travel costs, are charged at actual cost. Most clients expect a law firm obtain prior approval regarding all ‘unexpected’ major disbursements, e.g., business class tickets, limousine rentals and the like.
Hiring a large law firm is however not always cost-effective. An analysis revealed that the average rates for law firm partners grew as the number of lawyers in a firm grew: each additional 100 lawyers raised the average partner rate by $13. It appears size does matter!
Karel Frielink
Attorney (Lawyer) / Partner
