Using the courts to protect your interests can be costly and time consuming. Sometimes it is unavoidable and we will always take court action if it is necessary to protect your essential interests.
However, whenever possible, we will look for a negotiated settlement. Sound advice and well-drafted documentation before you enter into an agreement can often reduce the risk of a later disagreement.
If you think that a problem may arise, it is best to be prepared by talking to your solicitor early. Whether you are a claimant or a defendant, we will always prepare a realistic appraisal of your situation.
Your solicitor’s ability, knowledge and experience may be able to avoid a dispute or, at least, ensure you are not put at a disadvantage and are well placed to benefit from any ensuing litigation.
Our services include advice on the following:
- Landlord/tenant(s) disputes
- Partnership disputes
- Dispute with customer/supplier
- Contractual/trust issues
- Disputed insurance claim
- Contested Will/Probate disputes
- Contract disputes
- Debt recovery
- Neighbour/property/noise disputes
Debt Recovery
We can pursue the recovery of debts owed to you if your efforts to get paid have failed. We work to recoup debts that are classified as Fast-track, Intermediate Track and Multi-track claims, typically those that exceed £10,000 in total value.
We can send a Letter Before Action which has a high degree of success, however if that fails to have the desired effect, we can then escalate matters to Issue Legal Proceedings against the debtor in the County Court. This means the debtor will receive a court form requiring them to pay the debt, interest and your costs within 14 days. If this still fails to yield a result, then we can seek to obtain a County Court Judgement (CCJ) which establishes that the debtor has defaulted on the payment. A CCJ is the courts final decision and enables you to take enforcement action against the debtor to collect the debt. A CCJ is also recorded against the debtors credit record which has a negative effect on their ability to obtain credit.
If you choose to appoint Abbey Solicitors to act on your behalf then your case will be dealt with by Rebecca Frost, BA (Hons) CPE, PGDL who is a Solicitor and Head of Debt Recovery. Rebecca has been in practice with Abbey Solicitors for over 20 years. She is assisted by the Director of the Practice, Nadeem Ullah LLB (Hons) who is also a Solicitor.
Rebecca offers jargon free legal advice and works tirelessly on behalf of her clients. She covers services across all four main stages of the UK Debt Recovery process, including Letter Before Action (LBA), Issuing court claims, obtaining County Court Judgements (CCJ) and enforcement of a CCJ, and additionally, if necessary, insolvency proceedings.
The work we conduct for you is based on an hourly rate of £288 per hour plus 20% VAT (£57.60) (total £345.60). Our costs range depending on the work required and can be as little as £1,000 plus VAT @ 20% (£200) (total £1,200) to £5000 plus VAT @ 20% (£1,000) (total £6,000), plus disbursements.
Disbursements – There are Court Issue fees payable when making a claim for money and in matters where the amount claimed exceeds £10,000 a fee of 5% is payable. Where any disbursements are payable, we will first seek your consent before committing to them.
Key Stages and Timescales
Step One
Initial Assessment within 2 weeks from accepting instructions: We will review documentation (invoices, contracts) and conduct company searches or credit checks on the debtor.
Step Two
Letter Before Action (LBA) sent within 4 weeks from completing the above review: A formal letter is sent demanding payment within a set timeframe (usually 14 days for business-to-business, or 30 days for individuals under the Practice Direction.
Outcome: Over 75% of debts are often settled at this stage without further legal costs.
Issuing Court Proceedings – 4-6 weeks after the LBA
If the Letter Before Action is ignored, we can initiate legal action through the County Court.
We will draft a Claim Form and the Particulars of Claim which are legal documents sent to the Court and the Debtor outlining the debt, interest (statutory or contractual), and legal costs.
Debtor's Response: The debtor has 14 days to pay, admit the debt, or file a defence (extending to 28 days if they acknowledge service).
Obtaining Judgment (CCJ)
Default Judgment: If the debtor fails to respond within the time limit, we can request a "Judgment in Default" to secure the debt quickly as soon as the above time limits have expired.
Admissions: If the debtor admits the debt, a judgment is entered for payment.
Defended Claims: If the debtor defends the claim, the case will be allocated to a court track for a hearing. Witness Statements are usually produced by each party before a Judge will hear evidence from both sides at a hearing and make a decision. Defended claims are usually heard within 12 months from issue.
Enforcement of Judgment
If a County Court Judgment is obtained and remains unpaid, we can initiate enforcement actions to recover assets by various methods as set out below:-
- Writ of Control/Warrants: We can instruct a High Court Enforcement Officer (HCEOs) or county court bailiffs to seize goods.
- Third-Party Debt Order: We can ask the Court for an Order freezing and seizing funds from the debtor’s bank account.
- Charging Order: We can ask the Court to place a charge on the debtor's property, preventing the sale of the property until the debt is repaid.
- Attachment of Earnings: We can ask the Court to deduct payments directly from the debtor's wages.
- Insolvency Action: We can issue a statutory demand to commence bankruptcy (individual) or winding-up (company) proceedings.