Legal Definitions - costs

In a legal context, costs refer to the various administrative and operational fees associated with using the court system to resolve a dispute or prosecute a crime. These are distinct from the fees charged by attorneys for their legal services, which parties typically pay themselves. Court costs help cover the expenses of running the judicial process and ensuring that legal proceedings can take place.

These fees can encompass a range of items, such as:

• The initial fee required to file a lawsuit, motion, or other legal document with the court.
• Charges for officially delivering legal papers, like a summons or subpoena, to involved parties.
• Fees for court reporters who transcribe spoken testimony during depositions (out-of-court questioning) or actual trial proceedings.
• Expenses for making copies of court documents and evidence presented in a case.
• Small payments (stipends) made to jurors for their service during a trial.
• Other administrative charges related to the court's daily operation, such as clerk fees or marshal services.

The specific items considered "court costs" can vary depending on the jurisdiction (e.g., state or federal law) and the type of case. Judges, rather than juries, typically make the final decisions regarding disputes over what constitutes recoverable court costs.

In civil cases, where one party sues another, the general rule in the United States is that the party who loses the case (the "non-prevailing party") is usually ordered by the judge to pay the court costs of the party who won (the "prevailing party"). This helps the winner recoup some of the administrative expenses they incurred in pursuing or defending the case. However, it is crucial to remember that this typically does not include their legal fees for their own lawyer, due to what is known as the "American Rule."

In criminal cases, if an individual is convicted of a crime, they are often required to pay court costs. These costs are not intended as additional punishment but rather as a way for the government to recover some of the expenditures it incurred in prosecuting the case. The funds collected from these costs may also contribute to various programs that support the justice system, such as crime victim compensation funds or public defense services.

Here are some examples illustrating how court costs apply:

• Example 1: Civil Lawsuit for Breach of Contract

  A small business, "InnovateTech," sues a supplier, "Global Parts Inc.," for failing to deliver critical components on time, causing InnovateTech significant financial losses. InnovateTech files the lawsuit, paying an initial filing fee to the court. During the discovery phase, they pay for a court reporter to transcribe depositions of Global Parts Inc.'s employees and for a process server to deliver subpoenas for documents. After a lengthy trial, the judge rules in favor of InnovateTech. The judge orders Global Parts Inc. to pay InnovateTech's court costs, which include the filing fees, transcription costs, and service fees. InnovateTech, however, still pays its own attorney's fees.

  This example illustrates how, in a civil case, the losing party (Global Parts Inc.) is typically responsible for reimbursing the winning party (InnovateTech) for the administrative fees and expenses directly related to the court process, but not for their lawyer's hourly rates.

• Example 2: Criminal Conviction for Shoplifting

  Maria is arrested and later convicted of shoplifting from a local department store. As part of her sentence, in addition to a fine and community service, the judge orders Maria to pay $150 in court costs. These costs might contribute to the general operating budget of the courthouse, a fund for victim services, or a specific fee for processing her case through the criminal justice system, such as a DNA collection fee mandated by state law.

  This example demonstrates how, in criminal cases, a convicted individual is often required to pay court costs. These payments help the government recover some of the expenses incurred in prosecuting the crime and may support various justice-related programs, rather than serving as direct punishment.

• Example 3: Divorce Proceedings with a Specific Fee-Shifting Agreement

  John and Sarah are going through a divorce. During their mediation, they agree on a settlement that includes a clause stating that the party who initiates any future court action to enforce the divorce decree (e.g., for child support or property division) will be responsible for all court costs associated with that enforcement action, regardless of the outcome. Years later, John files a motion to compel Sarah to comply with a property division order. He pays the filing fee and other associated court costs. The judge rules in John's favor, but because of their prior agreement, John is still responsible for his own court costs, even though he "won" the motion.

  This example highlights that while there are general rules for court costs, specific agreements between parties (like in a contract or settlement) can alter who is responsible for paying them. It also shows that court costs can arise in various types of legal proceedings beyond initial lawsuits or criminal trials.