Those " illegal " fines !

A recent phenomenon that has exploded onto the commercial scene is the practice of merchants to impose a " fine " if you are late paying a bill.
It started with the banks. Be just a day late paying the minimum due on Visa or Mastercard and the banks slug you a fat fee.
Overdraw your account by the odd dollar and another fine pops up in the debit column next time you get a statement - and these are serious money fines - ranging from thirty five to fifty dollars in most cases.

Now this disease has spread to other avenues of commerce. If you do not pay the paper bill on time the local newsagent adds a five dollar fine to the next bill.
All sorts of trades have jumped on the bandwagon - the plumber, the electrician and even the people who mow lawns for a living.]

The question is - are these fines legal ?

This seems to be a moot point not yet addressed by the legal profession.
The short answer is that they probably are not. When you deal with a person or company providing services there is usually no agreement on the terms and conditions that apply.
That does not seem to be the case with banks, providers of telephone services and similar organizations who do ask you to agree to the terms under which they will trade with you.
Presumeably, somewhere in the fine print there is a right to apply excess fees in certain circumstances.

The great majority of trade with small business has no such agreement, and most likely deciding to add new terms and conditions would require the consent of both parties.
In such a case, those fines imposed without reference are simply a try on - and they are getting away with it because most people lack an adequate knowledge of the law - and few would go to the cost of challenging the validity in court.

An interesting thought to ponder ! Next time one of these fines appears - ask the merchant concerned what legal basis supports the claim ?