Disbursements 101: What They Really Cover and How to Avoid Excess Charges

When most people think about legal costs, they focus on hourly rates and professional fees. But there’s another category of charges that can significantly increase your bill.. disbursements.

Disbursements are often misunderstood, poorly explained, and sometimes unexpectedly high. Without clear guidance, clients can end up paying hundreds or even thousands more than they anticipated.

In this guide, we break down what disbursements really are, what they should cover, and how you can avoid excessive or unnecessary charges.

What Are Disbursements?

Disbursements are out-of-pocket expenses your lawyer pays on your behalf while working on your case. These are separate from your lawyer’s professional fees.

Common examples include:

• Court filing fees
• Barristers’ fees
• Expert reports (such as accountants, medical specialists, or engineers)
• Process servers
• Search fees (ASIC, land titles, company records)
• Travel expenses
• Photocopying and printing
• Postage and courier fees



In simple terms, disbursements are external costs necessary to progress your legal matter.

What Disbursements Should and Shouldn’t Include

Legitimate Disbursements

These are necessary third-party costs that your lawyer must pay to move your case forward:

• Court and tribunal fees
• Independent expert reports
• Government searches
• Barrister or mediator fees



These expenses are generally unavoidable but they should always be explained clearly and approved by you beforehand.

Questionable Disbursements

Some firms charge additional “disbursements” for:

• Photocopying
• Printing
• Scanning
• Phone calls
• Emails
• Internal courier fees
• File storage



While these costs may be allowed, they can quickly add up and significantly inflate your bill. Many clients are shocked to see hundreds, sometimes thousands, of dollars charged for basic administrative tasks.

Why Disbursements Are a Common Source of Overcharging

Disbursements often escape scrutiny because:

• They appear minor individually
• They’re buried deep in itemised invoices
• Clients assume they’re fixed and unavoidable



In reality, many disbursement charges are:

• Unnecessary
• Excessive
• Poorly explained
• Marked up beyond actual cost



At Law in Check, we regularly see legal bills where disbursements account for a significant portion of the total invoice, and in many cases, those charges can be challenged or reduced.

How to Avoid Excessive Disbursement Charges

1. Ask for a Full Disbursement Estimate Upfront

Before your matter begins, ask your lawyer:

• What disbursements are likely?
• Which ones are unavoidable?
• Which ones are optional?
• How much should I budget?



A proper estimate should include both professional fees and disbursements.

2. Request Approval Before Major Expenses

You should never be surprised by large third-party costs.

Ask your lawyer to:

• Seek your approval before incurring significant disbursements
• Explain why the expense is necessary
• Provide cost ranges where possible

3. Review Your Invoices Carefully

Check your bill for:

• High copying and printing fees
• Large scanning or admin charges
• Rpeated small disbursements that add up quickly



If charges seem excessive, unclear, or unreasonable, ask questions immediately.

4. Challenge Unreasonable Charges

If disbursements appear inflated, duplicated, or unnecessary, you may have the right to:

• Request clarification
• Seek reductions
• Apply for a legal costs assessment



Many clients don’t realise they can formally challenge disbursements, even after payment.

Can You Dispute Disbursements?

Yes.

Under Australian legal costs laws, disbursements must be fair, reasonable, and properly disclosed. If they aren’t, you may be entitled to:

• Reductions
• Refunds
• Formal cost assessments



At Law in Check, we regularly review disbursement claims and often identify significant overcharging that clients didn’t know could be disputed.

How Law in Check Can Help

If your legal bill includes high or confusing disbursement charges, our team can:

• Review your invoice
• Identify excessive or unnecessary disbursements
• Advise whether costs can be challenged
• Commence negotiations or cost assessment proceedings where appropriate

Final Thoughts

Disbursements might seem like small line items, but they can have a big impact on your final legal bill.

Understanding what they cover, and knowing how to control them, puts you in a far stronger position to protect your budget and avoid unnecessary costs.

If something doesn’t feel right, trust your instincts and get your legal bill checked.