Legal Question in Credit and Debt Law in Canada

Who is responsible for court costs?

Who is responsible for court costs and legal costs when a collections agency decides to commence legal proceedings? A company is demanding that I pay $48.33 for shipping costs and is now threatening legal action. Do you think they will actually go forward with legal action for this little of a fee? And should they do so, can they actually make me responsible for their legal costs? Their letter said that they intend to recover the debt, any interest, plus court costs and legal costs. Is it possible that I would have to pay their legal fees? Would your advice be to just pay the 49 bucks?

Sincerely,

Julie


Asked on 6/14/05, 2:16 pm

1 Answer from Attorneys
Donald McLeod Donald R. McLeod Law Corp.

Re: Who is responsible for court costs?

In British Columbia, Court Costs are awarded by the court following a trial or hearing, and the judge specifies who will pay. It generally, but not always, depends on who "wins". "Legal fees" and "court costs" are different things. "Legal fees" are the fees for professional services charged by lawyers and "court costs" are an indemnity awarded by a court to assist with the expense of litigation. The court almost always deals with "costs", not "fees". As to whether or not they will actually sue, that is not a legal question but depends on the policy of the company involved, so that issue can not be answered at all.You have not given enough information to provide an answer to the rest of your question.

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Answered on 6/15/05, 3:59 pm


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