My direct report expensed Cal Bar late fees assessed for reporting MCLE credits late and for paying the bar fee late. It’s around $190 extra. I don’t care about the money (it’s not mine) but I think this is principally wrong to ask the company to cover it. Thoughts on this and how you would communicate it?

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Posting as :
works at
You are currently posting as works at

You must be fun at parties.

likefunnysmart

Disagree. The company could help by keeping track of due dates/sending reminders/assisting in registrations since the license is for the benefit of the company. If it's not worth it, don't be surprised about late fees. It's also such a minor thing and easy slip that I wouldn't sweat it. These admin tasks are hard to make a priority with work demands and I know I always find myself scrambling at the last minute to get enough MCLE credits and pay dues because it's a to do list item that keeps getting pushed. Some jurisdictions don't let you file early, so it's hard to plan around work demands (ie file when you have down time) vs hoping you aren't slammed in the period you need to file.

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Agree. Bar fee is covered, not your negligence.

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I agree but the amount is miniscule. I'd pay for some cheap goodwill.

I'd cover it as a courtesy today but explain why in the future the firm will not be covering late fees.

likesmart

Agreed. I used to work in catering and we had to pay for our parking tickets. Company shouldn’t cover avoidable expenses

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Is this person generally a good employee? $190 is a small price to pay for keeping a great employee happy. You’re going to unnecessarily annoy them for what’s likely a one-time issue.

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Depends on the size of the firm/company, I’d think. If it’s a small shop, no way that flies. If it’s a biglaw firm where that’s a bar tab the firm picks up regularly, can you blame a guy for trying?

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It’s a late stage start up

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Having a MCLE policy is a good idea. Relying on lawyers to actually know the law that applies to them is usually a bad bet. Especially young lawyers (if you pay attention to Associate comments on this site).

Completely with you on not paying the late fee. It’s like a parking ticket - company should not pay (and can’t if I remember right).

Totally agree OP

I would let direct report know that they should do better next time, but let it go. Everyone makes mistakes

In short, I’d submit the receipt/payment for reimbursement without much additional communication, unless they ask.

My logic is this, if you have to question whether it’s reimbursable: it is reimbursable until you’re told that it is not reimbursable.

Just submit it for reimbursement. If they don’t reimburse it, they didn’t think they should cover it. If they reimburse it, well then they thought they should cover it. Does the receipt itemize the charges based on the normal fees and the late charge? If so, whoever reviews the receipt will able to review and make a proper determination.

My argument for it being reimbursable would be this… Does your company covers all other late fees for services/subscriptions/late payments/etc. in general day-to-day operations? I would assume that your company doesn’t force the responsible (or “negligent” as some other commenters phrased it) employee to bear those costs for their mistakes, right? If you’re working full time at the place, they should cover it. You’re not some independent contractor, your services are directly benefiting your company and I would assume that you solely or primarily use your license to benefit your company.

It sounds like it has been submitted and is now being reviewed.

Unlike other services, subscriptions, etc. that the company may hold in its own right, your license is personal to you and it is your responsibility to maintain it. It’s nice that companies cover the fee (although I’m barred in two major, relevant states and have only ever gotten covered for one), but that’s not a reason to throw additional cost on the company.

I don’t blame the report for submitting — I agree with you, if you’re not sure, just submit and see what happens. But I think what happens here is they get reimbursed only for the ordinary fee.

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