DEBT RECOVERY 

Unpaid debts can stifle your business and create serious cashflow issues.

We can help you chase those debts through the Courts or other legal processes and bring credit to the balance sheets.

Debt recovery generally moves through three phases: 

Pre-Action > Litigation > Enforcement.

 

While all cases are different, we can advise you fully every step of the way. The below indicates the likely charges for these cases:

 

Pre-Action

Pre-Action involves sending a letter of claim and trying to compromise the case without needing to go to Court.

Debts up to £10,000

Debts £10,000 to £100,000

Fixed fee of £50 plus 10% of funds recovered plus vat.

Charged on an hourly rate basis but where successful these costs can mostly be recovered from your opponent. Expected costs here are £750 + vat.

The Pre-Action stage normally concludes within 12 weeks with either settlement or moving into litigation.

 

Litigation

Debts up to £10,000                 

  • Issuing Court Proceedings                                    Fixed fee of £100 plus vat

  • Dealing with case allocation                                 Fixed fee of £50 plus vat

  • Preparing evidence for hearing                            Fixed Fee of £150 plus vat

  • Preparing for and Dedealing with hearing        Fixed fee of £150 plus vat

 

If the matter settles shortly after court proceedings are issued, this stage should take around 6 weeks. If the case is defended and goes to trial it may last 12 months. 

 

In addition to the above, you will need to pay Court Fees and Barrister’s Fees.

 

Debts £10,000 and above 

 

These are charged on an hourly rate basis but where successful these costs can mostly be recovered from your debtor. Expected costs per stage are:

  • Issuing Court Proceedings                     £300 plus vat

  • Dealing with case allocation                  £450 - £600 plus vat

  • Dealing with Disclosure                          £600 plus vat

  • Preparing evidence for hearing            £600 plus vat

  • Preparing for trial                                      £300 plus vat

  • Dealing with hearing                               £200 plus vat

 

If the matter settles shortly after court proceedings are issued, this stage should take around 6 weeks. If the case is defended and goes to trial it may last 18 months. 

In addition to the above, you will need to pay Court Fees and Barrister’s Fees.

 

Enforcement

Enforcement is the final stage in the process if you have obtained a Judgment that has not been paid. The appropriate enforcement method will vary case by case but generally the use of a High Court Enforcement Officer will be appropriate. Alternative methods of enforcement can include insolvency proceedings and we can provide bespoke advice where that is appropriate.

 

Debts up to £10,000     

  • Fixed Fee of £50 plus vat plus the following external fees:

  • HCEO Fee of £75 plus vat

  • Court Fees of £40 - £100

 

Cases over £25,000      

 

These are charged on an hourly rate basis but where successful these costs can mostly be recovered from your debtor.  

  • Estimated costs are £300 + vat plus the below external fees.

  • HCEO Fee of £75 plus vat

  • Court Fees of £40 - £100

 

​The timescales for enforcement vary considerably but usually a High Court Enforcement Officer will successfully execute any recoverable debt within 3 months.

In some cases, bankruptcy or other insolvency proceedings may be appropriate and we can discuss this with you if appropriate.

 

Who will deal with my matter?

Your matter with be dealt with by one of our paralegals working under the supervision of our Compliance Officer for legal Practice. 

​​

Court Fees

 

Issuing your case:

 

 

 

Trials Fees:

Court Fees are added to your claim and should be recoverable from the debtor if the case succeeds.

 

Barrister Fees

 

These fees are estimated, and we will always discuss appropriate barristers with you before sending instructions.

Where the value of your case is more than £10,000, you should recover barrister’s fees from your debtor if the case is successful.

CONTACT US

 

If there is a matter you would like to discuss with us, fill out the form below and one of our team will be in touch.

Address

New South Law

Suite 3a

Anchor Springs

Littlehampton

West Sussex

BN17 6BP

NSL is the trading name of New South Law Limited. Authorised and regulated by the Solicitors Regulation Authority (SRA) ID: 645781. New South Law Limited is a limited liability company, registered in England and Wales under company registered no: 10725076

© 2018 site by New South Law Ltd.

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