Using a Collection Agent for Overdue Client Accounts

In some circumstances, collecting an unpaid account may require the involvement of a third party, such as a collection agent or an assessment officer. Both lawyers and paralegals are permitted to disclose confidential information in order to establish or collect fees [rule 3.3-5 of the lawyers' Rules of Professional Conduct, subrule 3.03(7) of the Paralegal Rules of Conduct]. When attempting to collect fees or having client accounts assessed, you must not reveal more information than is required to establish or collect the fee. Where your bills contain information that is unnecessary to enforce payment (e.g. detailed descriptions of legal advice or client communications), you should delete or block out this information on any copy to be provided to a collection agency or to be used in the assessment hearing.

Additional Resources:

Overdue Client Accounts

Interest on Overdue Client Accounts