Administrative Cost

/ˌædmɪnɪˈstreɪtɪv kɔst/

Definitions

  1. (n.) Expenses incurred in managing and operating an organization or legal entity, excluding direct costs of production or services.
    The administrative cost of processing the legal claims was accounted for separately from the settlement amounts.

Forms

  • administrative cost
  • administrative costs

Commentary

Administrative cost typically excludes direct transaction or production costs and is important in budgeting and cost allocation within legal entities.

This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.

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Amicus Docs | Administrative Cost Definition