Debt Recovery Fees For Business Clients
PERSONS RESPONSIBLE FOR THE WORK
Our debt recovery work is dealt with, or at least supervised by, Robert Small, a Solicitor and Head of the Dispute Resolution department. Robert qualified as a legal Executive in 2007, then as a solicitor in 2010, and has handled a wide range of civil and commercial disputes since the year 2000. He has gained considerable experience in dealing with all aspects of debt recovery, and he is an expert in the procedures involved and the various options and strategies available to creditors to give them the best chance of recovering their debts. For more details of Robert’s experience, see his profile here.
BASIS OF OUR CHARGES
Our charges are calculated based on hourly rates, plus expenses (disbursements) we pay or incur on your behalf. Unless otherwise agreed, our hourly rates will be £265 + VAT (at 20%).
You will need to pay for expenses (disbursements) in addition to our charges as described above. In a debt recovery matter the most common expenses (disbursements) tend to relate to bailiffs for enforcement action or Counsel’s fees if proceedings are required. It is difficult to estimate what the overall costs would be without knowing about the detail of your case. Please contact us for more information.
Debt Recovery Services
The services and costs shown below apply to claims for straightforward unpaid debts owed to business clients, which are not disputed.
STAGE 1 – LETTER OF CLAIM
This involves sending a Letter of Claim to the debtor demanding payment of the debt, plus interest and other charges (if applicable). The timescale (provided the debtor pays promptly) is likely to be in the region of 2 – 3 weeks from our receipt of your instructions to receipt of payment.
Our estimated costs for Stage 1 are shown in the table below:
The above fee estimates for Stage 1 include:
- Taking your instructions and reviewing documents
- Basic investigation / confirmation of the correct identity and address of the debtor.
- Sending a Letter Before Action, demanding payment and otherwise threatening court action.
- Receiving payment (or any other response) and sending on to you.
STAGE 2 – ISSUE A COURT CLAIM
Following a Letter of Claim, if payment is not made, the next stage is to issue court proceedings against the debtor. The debtor has set time limits to respond to the claim and, if they fail do so, a request can be made for Judgment to be entered against the debtor in default. The timescale for issuing a claim up to the point of obtaining default judgment will depend largely on the speed in which the court processes the claim and any request for Judgment. Usually this process will be in the region of 4 – 6 weeks from our receipt of your instructions to start the claim.
Once default Judgment is obtained, sending a letter to the debtor demanding payment otherwise threatening further action to enforce the Judgment.
Our estimated costs for Stage 2 are shown in the table below:
* When calculating the value of the debt, if interest and other charges are added, it may take the debt into a higher banding.
**Certain types of claim can be issued online, which may involve a slightly lower court fee. Court fees are correct at the time of publishing this note, but are subject to change. Up-to-date court fees can be seen at: