These costs apply where a claim is in relation to an unpaid invoice which is not disputed and enforcement action is not needed and assumes that the pre-action protocol for debt claims must be complied with (which gives the debtor up to 30 days to respond). If the other party disputes your claim at any point, we will discuss any further work required and provide you with revised advice about costs if necessary, which could be on a fixed fee (e.g. if a one off letter is required) or on an hourly rate if more extensive work is needed. If any particular protocols apply to your claim we will advise you of the likely costs separately when we have further information about your particular claim.
Pre-Court Action Steps
We will charge a fixed fee ranging from £30.00 plus VAT to £75.00 plus VAT (currently 20%) for preparation of a protocol compliant letter of claim demanding payment. For each additional letter/ email and telephone call made/received a charge of £5.00 plus VAT will be made.
Fees for Issue of a Court Claim
If the debtor fails to pay upon the letter of claim and there is a need to issue a claim at Court then our fees are fixed at the same amount which is reclaimable from the debtor (save in addition we will charge you VAT which is not recoverable from the debtor). A court fee is also payable to the Government to issue your claim. Details of the fixed fees and court fees are set out in the table below:
|Amount of Outstanding Debt|| Fixed Costs
|up to £300.00||£50.00||£35.00|
|£10,000.01-£100,000.00||£100.00||5% of claim|
We offer a similar service for obtaining a Default Judgment and our fees are limited to the amount which are reclaimable from the debtor (save in addition we will charge VAT which is not recoverable from the debtor). Details are set out below:
Judgment where no Acknowledgment of Service has been filed by the Defendant
|Judgment where no Defence has been filed by Defendant||£25.00||£35.00|
|Judgment where defendant admits claim and you accept payment proposals||£40.00||£55.00|
|Judgment where defendant admits claim and Court decides method of payment||£55.00||£70.00|
If you instruct us on a debt of £6,000.00 where we have to send 3 letters at pre-action stage and then proceedings are issued and a Default Judgment obtained where no Acknowledgment of Service has been filed but the debtor then pays immediately after Judgment then the costs you will incur and the amount recoverable from the debtor is set out below.
|Costs of pre-action stage||
|Issue of claim||£120.00
(£100.00 + VAT)
|Court issue fee||£455.00||£455.00|
|Fee for entering Judgment||£36.00
(£30.00 + VAT)
Total fees payable = £719.00 (including VAT and Court fees)
Amount recoverable from debtor (in addition to the debt) = £585.00
Anyone wishing to proceed with a claim should note that:
Our fee includes:
Matters usually take between 5 to 10 weeks from receipt of instructions from you to receipt of payment from the other side, depending on whether or not it is necessary to issue a claim and assuming no delay in the Court processing your claim for issue. This assumes that the debtor pays promptly on receipt of Judgment in default. If enforcement action is needed, the matter will take longer to resolve.
The work will be undertaken by our Commercial Litigation/Dispute Resolution Team.
There are 6 members of the Team who may carry out this type of work (together with support staff who carry out administrative roles subject to the supervision of either the head of department or the solicitor who has conduct of the matter). The team members are:
Neil Brown – Solicitor and Director and head of Commercial Litigation/Dispute Resolution whose profile and experience can be accessed by clicking on the link below
Jason Skelton – Solicitor and Director whose profile and experience can be accessed by clicking on the link below
Ashley Wood – Solicitor and Director whose profile and experience can be accessed by clicking on the link below
Mark Binney – Solicitor and Director whose profile and experience can be accessed by clicking on the link below
James Parden – Chartered Legal Executive whose profile and experience can be accessed by clicking on the link below
Liz Henwood – Solicitor whose profile and experience can be accessed by clicking on the link below