Our specialist debt recovery solicitors can offer a fixed price on undisputed invoice debts and other types of commercial debt recovery. Separately we can offer general advice on business debt recovery and commercial advice on your prospects of recovering outstanding debts.
At Altion Law we understand that outstanding debts can have a huge impact on the decisions you make in your business. Our Commercial Law experts will provide you with clear advice on the debt recovery options available to you, advising you of the costs, the time-frame and any pros and costs of each option so that you have a full picture before making any decisions.
Next Steps to Take
From the outset we will discuss your aims, priorities and objectives. This would be to ensure that you are advised on the most appropriate steps forward in resolving the matter.
In certain circumstances we can offer fixed price services. This can allow you to limit the costs and the risk to you and your business. Where we cannot offer fixed price services, we will provide you with full details as to your options. What you can usually expect when pursuing each option. Then an idea of the costs to enable you, to weigh up which option would be most suitable for you.
Successful Debt Claim
Our client was owed money from another business that they were struggling to recover. Altion Law was instructed to assist in recovering the sums due. Managing to successful liaise with, and then obtain a court judgment against the debtor business. The debtor business was however attempting to be incredibly evasive to avoid paying any sums due. However we employed tactical efforts to successfully recover every penny due to our client. We even received personal communication from the director of the debtor company, advising that they were impressed with our methods. It was stated that they would look to instruct Altion Law themselves in the future.
Before starting any formal court proceedings, you are required to make initial contact with the debtor. This should be in writing setting out what you are claiming and why. Then a deadline for them to make payment and/or respond.
The letter should also advise that you are intending to take a legal claim against the debtor. This is if the matter cannot be resolved by the deadline. Generally, this is referred to as a Letter before claim. It will give you opportunity to establish the debtors position, before time and costs are incurred with court proceedings.
You should also need to keep a copy of any correspondence sent out as evidence of your communication. Even where written communication has been sent, some parties find it useful to also send a solicitors letter. This is to formally advise that you are serious in taking steps if the matter is not dealt with.
We would always recommend that a solicitors letter is sent before any formal action is taken. This can be a much cheaper and quicker way of resolving the matter. If it then pushes the debtor into action.
How Long should I give them to Respond?
It is usual to provide a debtor with 7-14 days to pay or respond. Where the debt is disputed however, the position would need to be considered in greater detail.
To draft a standard letter before claim would usually cost in the region of about £75 plus Vat. However costs may vary for more complex matters.
Where sums are still outstanding following a letter before claim, the next step would usually be to issue court proceedings. The value and complexity of the matter will determine which process is suitable for your dispute. In certain circumstances a specialist procedure may need to be followed.
Generally speaking court claims are dealt with in the following way:
ALTION LAW OFFERS A FIXED FEES FOR SMALL CLAIMS ACTIONS UP TO LIMIT OF £10,000
We are a firm of experienced commercial solicitors with expertise in handling business disputes.
If someone owes your business money, or has breached an agreement. Alternatively, has provided you with faulty goods or a poor standard of workmanship. Your best means of redress may be to take them to Court under a small claim.
At Altion Law, we can assist you to:
- Take instructions and prepare witness statements
- Advise on the prospects of success of your case
- Negotiate settlement with the other party on your behalf
- File court papers at the relevant Court
- Assist to draft the Claim Form and Particulars of Claim
- Draft a Defence if you are a defendant and,
- File counterclaims (where necessary)
- Deal with any Defence or Counterclaim
- Prepare Court bundles and serve copies on the other side
- Represent you at the hearing.
Once the court have considered the matter. A final judgment of the matter will be issued.
This will set out the courts findings, and will set out what the parties are required to do. In certain circumstances, it is possible to appeal this judgment.
If the matter is not appealed, and the required party has not taken the necessary steps ordered by the court. Then enforcement of the judgment may be considered.
Enforcement methods can include:
- Orders to obtain further information about another party;
- For a third party ordered to pay sums directly to the Judgment Creditor;
- Further orders for a parties Employer to pay sums to a Judgment Creditor;
- Charging order application;
- Application for Stop Orders and Stop Notices;
- An application to freeze assets or money
- Statutory Demands;
- Instructing bailiffs.
The time frame to pursue enforcement, will depend upon a number of factors, including the information available about the other party, the availability of the court. To some extent the actions of the debtor.
The costs of pursuing each matter will depend upon the complexity of the matter. The volume of information involved and available, however we will discuss your matter in full. Then to advise you of the options most suitable to your matter.
If you would like to seek more information about our costs in relation to Debt Claims, please download our guide here.
At Altion Law we will provide you with clear advice from the outset. Guiding you though any process you chose to pursue. This will aim to ensure that you can make the most suitable decision for you and your circumstances. If you would like to have a confidential discussion with a member of our team, please complete our Contact Us Form. We will call you back at a time that is suitable for you, or you can contact us directly on 01908 414990.