How to Submit a LEDES Invoice With Capped Fees

If your client has a capped fee agreement, Brightflag will automatically check your LEDES invoice against the client’s approved capped fee rate card.

This check only applies to LEDES invoices (98B or 98BI).
It does not apply to PDF-only invoices.

What Is a Capped Fee?

A capped fee means:

The client has agreed to pay up to a maximum amount for a specific task.

Brightflag compares your invoice to that agreed amount when you upload the LEDES file.

What Must Match Exactly in Your LEDES File

For the capped fee check to work, these fields must exactly match the client’s rate card:

1️⃣ LINE_ITEM_DESCRIPTION

• The description must start exactly as it appears on the client’s rate card.

• You may add extra wording after that if needed.

2️⃣ LINE_ITEM_TASK_CODE

• Must exactly match the task code on the client’s rate card.

• Example: PA320

3️⃣ CURRENCY

• Required for LEDES 98B (not automatically included).

• Must use the correct ISO currency code (e.g., USD, EUR, GBP).

What Happens During Upload?

When you upload the LEDES file:

• Brightflag checks the LINE_ITEM_TOTAL

• It compares it to the capped amount on the client’s rate card

If your invoice amount is higher than the agreed cap:

• You will see a warning message

• You can correct the invoice and re-upload

Important: Warnings Do Not Block Submission

The system may show a warning if the capped amount is exceeded.

However:

• The warning does not stop you from submitting.

• If you ignore it, the client may reject the invoice.

It is strongly recommended to fix the issue before submitting.

Important: If It Doesn’t Match Exactly

If the task code or the beginning of the description does not exactly match the rate card:

• The capped fee check will not run.

• Your invoice may be rejected later by the client.

Even small formatting differences (extra spaces, spelling errors) can prevent the check from working.

Summary

To avoid rejection:

• Use LEDES (not PDF) for capped fee matters

• Match the task code exactly

• Match the start of the description exactly

• Ensure the amount does not exceed the agreed cap