Recovering fees – a success story

In our articles, we often write about the steps Schools should take to assist in the event of a dispute. To that end, it is reassuring when a Court confirms that well-implemented enrolment processes and documents will support a School when seeking to recover fees.

We recently acted for a School who sought to recover fees, with a Trial Judge determining in favour of the School for the full amount of fees plus commission. We provide an overview of the hurdle and the reasons for success below.

What were the hurdles we had to overcome?

• Separated family with multiple children at the College;
• Variation to enrolment agreement signed;
• One parent paid in full, the other in arrears;
• The parent in arrears was strongly of the belief that:
  • Sole parental responsibility should also mean sole financial responsibility, thereby negating any liability;
  • Personal views as to the outcome of the family separation should obviate the requirement to pay;
  • Enrolment documents must be re-signed every year;
  • A parent should be able to unilaterally remove themself from an enrolment if they can no longer afford fees.

Why did the College succeed?

• Clear, signed enrolment documentation by the enrolling parents;
• Clear, signed variation documentation by the same enrolling parents;
• Well trained Finance Team and supportive Business Manager;
• Frequent and consistent communication with both parents about the College’s expectations and requirements throughout the enrolment, including:
  • Confirmation to both enrolling parents that new enrolment documentation would be required to remove one party from the arrangement;
  • Discussing the arrears on the relevant account with both parents to ensure both were aware of the circumstances.
• Reference to the College’s policies and procedures to support processes;
• Meticulous and contemporaneous debtor notes kept as a record;
• Consideration of the relevant Family Court Orders by the College to inform itself of the arrangements between the parents.

The Trial Judge subsequently worked through the matter finding that upon the evidence filed, there was no reason not to order the parent to pay the outstanding fees with commission and claimable legal costs. The

As the 2023 school year concludes and arrangements are underway to review ledgers in anticipation of the 2024 school year, we welcome any enquiries that you might have regarding enrolments and fee recovery. Our team at Platinum Collection Agency and Lynch Meyer Lawyers are leaders in the education sector. Please contact Alice Carter on 08 8236 7626 or acarter@lynchmeyer.com.au should you wish to have a free, no obligation 15 minute telephone consultation. Our teams wish you all a safe and enjoyable festive season.

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