May I charge interest on past due accounts?
The Professional Ethics Committee of The Florida Bar has stated that there is no ethical prohibition against a lawyer charging a lawful rate of interest on liquidated fees or costs. A lawyer who wishes to charge interest on past due accounts, however, must do so either: (1) by written agreement with the client; or (2) in the absence of a written agreement, by giving the client reasonable notice of the intent to begin charging interest. The Committee viewed 60 days as constituting reasonable notice. See Opinions 86-2, 71-26.
If you have questions about the aforementioned opinions you may contact the Ethics Hotline at 800.235.8619.
VIEWS AND CONCLUSIONS EXPRESSED IN ARTICLES HEREIN ARE THOSE OF THE AUTHORS AND NOT NECESSARILY THOSE OF FLORIDA BAR STAFF, OFFICIALS, OR BOARD OF GOVERNORS OF THE FLORIDA BAR.