How to Set Up and Manage Legal Case Fees in FalconPro Real Estate Software

How to Set Up and Manage Legal Case Fees in FalconPro Real Estate Software

Introduction

Legal cases often require real estate businesses to make advance legal payments on behalf of clients. FalconPro Real Estate Software provides a structured method to:

  • ✅ Set up legal case fees in the system
  • ✅ Add legal fees to lease contracts
  • ✅ Process receipts when tenants repay legal expenses
  • ✅ Ensure proper accounting for legal transactions

This guide walks through the step-by-step process of configuring legal fees, adding them to contracts, and handling payments.

1. Setting Up Legal Case Fees in FalconPro

Before collecting legal case fees from clients, the fee item must be configured in the system.

Steps to Create a Legal Fees Item:

  1. Go to Administration → Master Files.
  2. Click on “Accounting” → Select “Fee Items”.
  3. Click “Add New” to Create a New Fee Item.
  4. Enter the Fee Name:
    • Example: “Legal Fees” or “Legal Case Fees”.
  5. Choose the Fee Category:
    • Select “Others” as the category.
  6. Assign Accounting Rules:
    • Option 1: Create a due voucher (debits the client and credits the legal fees account).
    • Option 2: Directly credit the legal fees account when receiving payment.
  7. ✅ Now, legal fees can be added to contracts and processed in receipts.

2. Adding Legal Case Fees to a Lease Contract

Once legal fees are set up, they need to be linked to the client’s contract before payment collection.

Steps to Add Legal Fees to a Contract:

  1. Open the Tenant’s Lease Contract.
  2. Go to the “Fees” Section.
  3. Click “Add New Fee”.
  4. Select “Legal Fees” from the List.
  5. Enter the Fee Amount (e.g., 1,500 AED).
  6. Click Save.
  7. ✅ The legal fees are now added to the contract and appear in the client’s balance.

3. Processing a Receipt for Legal Fees

Once the tenant pays back the legal fees, FalconPro allows users to record the payment in cash, bank, or other methods.

Steps to Receive Payment for Legal Fees:

  1. Open the Lease Contract.
  2. Click on the “Receive Payment” Button.
  3. Enter the Payment Method:
    • Cash (if paying in cash).
    • Cheque (if paying via cheque).
    • Bank Transfer (for direct deposit payments).
  4. Select “Legal Fees” in the Payment Details.
  5. Enter the Amount Paid by the Tenant.
  6. Click “Save” to Record the Receipt.
  7. ✅ Now, the payment is reflected in the client’s account, and the legal fees are settled.

4. Verifying the Legal Fees Transaction in Accounting

To ensure the legal case fees are properly recorded, users should check the accounting transactions in FalconPro.

Steps to Verify Legal Fees Transactions:

  1. Go to Accounting → General Ledger.
  2. Retrieve Transactions for “Legal Fees”.
  3. Check the Debit and Credit Entries:
    • When a legal fee is added to a contract:
      • Debit: Customer Account
      • Credit: Legal Fees Account
    • When the tenant makes a payment:
      • Debit: Legal Fees Account
      • Credit: Cash/Bank Account
  4. ✅ The legal fees should now be balanced in the accounts.

5. Handling Different Accounting Methods for Legal Fees

Companies can choose different accounting methods based on their financial structure:

  • ✅ Standard Method (Recommended):
    • Legal fees are first debited to the client’s account.
    • When payment is received, it is credited back, ensuring accurate tracking.
  • ✅ Alternative Method (Direct Credit at Receipt):
    • No prior debit is recorded.
    • The legal fee is credited immediately upon payment.

💡 The best method depends on the company’s financial policies.

6. Posting Legal Fees Vouchers in FalconPro

Once a legal fee receipt is generated, users must post the transaction to finalize it.

Steps to Post the Legal Fees Voucher:

  1. Go to General Vouchers (GV) Posting Section.
  2. Find the Legal Fees Voucher.
  3. Review the Debit and Credit Entries.
  4. Click “Post Transaction” to Finalize.
  5. ✅ Once posted, the transaction appears in the company’s financial reports.

7. Benefits of Managing Legal Fees in FalconPro

  • ✅ Accurate tracking of legal case payments and reimbursements.
  • ✅ Automated accounting for legal fees, reducing manual errors.
  • ✅ Flexible payment options (cash, cheque, bank transfer).
  • ✅ Seamless integration with lease contracts for better financial control.

Conclusion

FalconPro Real Estate Software simplifies the management of legal case fees, ensuring accurate financial tracking and smooth payment processing. By following these steps, businesses can effectively set up, collect, and account for legal expenses while maintaining proper client records.

FAQs

1. Can I track multiple legal fees for the same contract?
Yes, FalconPro allows users to add multiple legal fee entries per contract.

2. What happens if a client partially pays their legal fees?
The system records the partial payment and keeps the remaining balance due.

3. Can I refund legal fees if a client wins their case?
Yes, FalconPro allows users to issue refunds via credit notes or direct bank transfers.

4. How can I generate a report of all legal fee transactions?
Go to Accounting → Reports → Legal Fees Summary to retrieve a full report.

5. Can I assign different legal fees for different contracts?
Yes, FalconPro allows custom legal fees based on case type and client contract.

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