Business Debt Recovery
We can help you through this difficult process by sending out a Letter Before Action. If this does not result in payment of the business debt, we can assist by taking Court proceedings on your behalf, and enforcing Judgment.
Our hourly rates range from £190 to £230 plus VAT. Full details of individuals’ charge out rate are included in the confirmation of instructions that are sent to you following instruction. Cases are charged at an hourly rate on a time recorded basis.
It is difficult to estimate how many hours of work will be necessary to complete the matter until the facts of the case are discussed with you. Once we have an accurate assessment of the level of work involved we will provide a costs estimate on an individual basis. If you will be instructing us regularly, or in bulk, please speak to us to discuss to discuss fees further.
If the other party disputes your claim at any point, if there are unexpected difficulties or if your requirements or the circumstance significantly change during the course of the matter, we will discuss any further work required and provide you with revised advice about costs if necessary.
Disbursements are costs related to your matter that are payable to third parties, such as court fees. We handle the payment of disbursements on your behalf to ensure a smoother process but we do require you to pay us for the disbursements in advance.
Usually the amount of the Court fee will depend on the size of your claim. Details of the Court fees can be found at https://www.gov.uk/government/publications/fees-in-the-civil-and-family-courts-main-fees-ex50
Costs you may have to pay another party
In some types of litigation, the losing party may be ordered to pay their opponent’s legal costs. This will depend on the nature and the value of the dispute. We will advise you about this risk at the outset of your matter and discuss what steps can be taken minimise it, eg buying insurance.
- Taking your instructions and reviewing documentation
- Undertaking appropriate searches
- Complying with the appropriate statutory Pre-Action Protocol
- Sending a Letter Before Action
- Receiving payment and sending on to you, or if the debt is not paid, drafting and issuing Claim
- Where no Acknowledgement of Service or Defence is received, applying to the court to enter Judgement in Default
- When Judgement in Default is received, write to the other side to request payment
- If payment is not received within 14 days, providing you with advice on next steps and likely costs
- We can provide you with specialist advice about enforcement steps. As at the beginning of 2019 there are only 45 High Court Enforcement Officers in England and Wales. There are currently three solicitors at Hand Morgan & Owen who are dually qualified as High Court Enforcement Officers.
Matter usually take 8 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. This is on the basis that the other side pays promptly on receipt of Judgement in Default. If enforcement action is needed, the matter will take longer to resolve. Whilst each case is dependent on its own circumstances, cases could take as little as one week where payment is made, or if it proceeds to trial, up to 18 months. In our experience, where a claim is issued and not defended it can take between one – three months, including compliance with the statutory Pre-Action Protocol.