Law School Discussion

The school from which I am transferring has charged me a $250 registration cancellation fee.  In my opinion, this amounts to nothing more than a slap in the face to those students who decide to pursue their legal education elsewhere.  Two weeks ago I sent a nicely worded request asking for the fee to be waived.  Yesterday, the petition was denied. 

I have a couple of questions:

First, can the school actually do this?  On what legal authority can the demand money from a student who has withdrawn.  What exactly am I paying for? 

My thinking is that I never signed a contract which stated I would be assessed any sort of penalty should I decide to transfer.  Further, when I did register (online as it was), it is not as if some message screen popped up alerting me to any possible fees.  I will check the student handbook this week, but I simply don't think the school has any right to demand money from at this point.  I paid in full for the first year, got a year's worth of classes in exchange, and as far as I am concerned, all accounts are now settled.  One of the attorneys with whom I work puts it bluntly - becasue I am no longer a student at this school, I am no longer subject to their bylaws.  Period. 

Second, if I choose not to pay, what ramifications would I face.  Do you guys think the school would actually get a collection agency after me?  Take me to small claims court?  Report me to the bar in order to affect my Moral Character Evaluation?

I must admit that any goodwill I had towards the school has been entirely eroded by this process.