Standard costs are defined as costs that are what?

• A. Reasonable and proportionate to the issues
• B. Unlimited and proportionate
• C. Fixed by court in every case
• D. Based on actual time

Answer: (A)

Standard costs are the costs that are considered reasonable and proportionate to the issues in the case. They provide a benchmark for what costs should be, rather than tying them to the exact hours spent. They are not unlimited, they’re not fixed by the court in every case, and they aren’t simply based on actual time spent. Instead, they reflect a typical level of cost for common steps given the case’s nature and complexity, ensuring recoveries stay fair and proportionate to what the case requires.