These costs apply where your claim is in relation to an unpaid debt, such as an unpaid invoice, which is not disputed and enforcement action is not needed. 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 an hourly rate if more extensive work is needed.
Letter before action
This is a letter that is sent to the other party making a formal demand for payment. It will contain a deadline for payment to be made. Our costs to send a letter before action will be £25 plus VAT.
If no response is received or payment is not made then Court proceedings may be commenced.
Our pricing for bringing proceedings for an unpaid debt is as follows:-
|Debt value||Court fee||Our fee (inc VAT)||Total|
|Up to £5,000||£25.00 – £205.00||£300||£325 to £505|
|£5,001 to £10,000||£410 – £455||£420||£830 to £875|
|£10,001 to £100,000||either 4.5% or 5% of the claim||£600||£1050.04 to £5600|
Anyone wishing to proceed with a claim should note that the VAT element of our fee cannot be reclaimed from your debtor if they are themselves VAT registered.
Interest and compensation may take the debt into a higher banding with a higher cost.
The costs quoted above are not for matters where enforcement action such as the Bailiff, is needed to collect your debt.
Our fee includes
- Taking your instructions and reviewing documentation
- Undertaking appropriate searches
- Receiving payment and sending this on to you, or if the debt is not paid, drafting and issuing a claim.
- Where no acknowledgment of service or defence is received, applying to the Court to enter judgment in default.
- When judgment in default is received, writing to the other side to request payment.
- If payment is not received within any stipulated period of time, providing you with written advice as to the next steps and likely costs
The above costs do not apply to any proceedings that are defended. This may arise if the debtor is of the view that they do not owe any money, either in full or in part, and that the debt is then disputed in full or in part. If this arises it will inevitably impact upon the likely legal costs of pursuing the debt. We will advise you at the time of the effect that this will have upon your legal costs so that you can make an informed decision of how you wish to proceed.
If a debtor responds to the letter before action swiftly, then, depending upon the extent of the debt, this may be paid within a matter of days or longer, particularly if a payment plan is required to make payment. If enforcement action is needed then the matter will take longer to resolve.
The fee earners with conduct of debt recovery cases within the practice are:
Sarah Lapsley – Solicitor and Head of Department – Date of admission as Solicitor 01/11/91
John Wroblewski – Solicitor and Director – Date of admission as a Solicitor 16/10/95
Sarah Rostamlou-Andrews – Solicitor and Director – Date of admission as a Solicitor – 15/01/08
The Solicitor who deals with your case will be supervised by another of the Solicitors listed above. Details of your Solicitor and their supervisor will be provided to you upon receipt of your instructions.