UTBMS Code E106 — Online Research
Charges for computerized legal research services, including database access fees and per-search charges for platforms like Westlaw, LexisNexis, Bloomberg Law, and other online research tools.
schedule When This Code Is Used
When the law firm incurs charges for online legal research platforms in connection with the matter. This is one of the most controversial expense categories because most firms pay flat annual subscriptions.
warning Common Billing Violations
Passing through per-search 'research charges' when the firm pays a flat annual subscription, meaning their marginal cost per search is zero
Billing $50-$500 per research session for a resource the firm has already paid for through overhead
Charging for online research by multiple attorneys on the same legal question, compounding the markup
Using inflated transactional pricing models to bill research access that costs the firm nothing per use
timer Typical Hours
N/A (expense item). If charged: range from $50-$5,000+ per month depending on research intensity. Should be $0 if firm has flat-rate subscriptions.
flag Red Flags to Watch For
Any online research charges from a large firm that almost certainly has flat-rate research subscriptions
Per-search charges exceeding $50 per session
Research charges that do not specify the platform used or the search conducted
Online research charges that seem to correlate with attorney research hours, suggesting double-charging
check_circle Best Practices for Review
Prohibit pass-through of Westlaw/LexisNexis charges when the firm has a flat-rate subscription
If research charges are permitted, cap them at a per-matter monthly maximum
Require itemization showing the platform, date, and search terms for each charge
Establish that legal research access is part of the firm's overhead, not a reimbursable expense
link Related Codes
analytics Key Statistics
Online research charges average $3,000-$15,000 per matter, with complex litigation matters exceeding $50,000 in database access fees
Source: Wolters Kluwer Legal Market Insights, 2024
54% of corporate legal departments limit or prohibit pass-through of online research charges as a separate expense
Source: ACC Legal Operations Survey, 2024
Frequently Asked Questions
What does UTBMS expense code E106 cover? expand_more
UTBMS expense code E106 covers Online Research charges including Westlaw, LexisNexis, and other legal research database access fees. These are among the most debated expense categories in legal billing, with significant cost variance between firms.
How should online research charges be handled under E106? expand_more
Many in-house departments prohibit separate charges for online research, viewing database access as overhead. If charges are permitted, require pass-through at actual cost without markup, cap total research charges per matter, and challenge charges for research on well-settled legal issues.
What are common billing issues with online legal research under E106? expand_more
Issues include firms marking up database charges by 50-200%, billing for research on basic legal questions within the firm's expertise, inefficient search strategies generating excessive charges, and billing research database access when free alternatives like Google Scholar would suffice.