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Non payment of invoices is a common problem for both individuals and businesses and will naturally cause delays and disruption in your finances.
The ideal outcome in this situation is to reach an agreement to secure repayment. This often can be achieved through mediation; a refusal to consider mediation could have cost implications later in Court proceedings, so it is important both you and your debtor consider this as an option. While we cannot provide mediation ourselves, we have various preferred mediators we can refer to you as part of your working relationship with us.
If a resolution cannot be reached through mediation, we can evaluate with you whether the debtor is worth pursuing through the Court system, and whether any judgement against them could be effectively enforced to secure the payment.
If we do proceed to Court and the Judge finds in your favour, the judgement must be served on your debtor with a request that the monies are paid to you. If they fail to make the payment, there are a number of options for you, which we can support you with:
1) Third Party Debt Orders - It is possible to apply for an order from the Court that any third party who owes money to the debtor pays the amount of the judgement or part of it to you as judgement creditor.
2) Charging Order - This is an application to register a charge over the debtor’s property, followed by an application for an order that such property be sold and payment of the debt be made from the proceeds of sale.
3) Execution Bailiffs - Bailiffs can be instructed to seize goods of the debtor, which can then be sold to pay the debt and the costs of enforcement.
An alternative option could also be insolvency. While such proceedings should not be seen as a method of debt recovery, the threat of them often results in the debtor making payment.
We are experienced in recovering money for our clients, and can adopt a hard stance or tread more carefully depending on how you wish to proceed and the nature of your situation. We act for large corporate clients, including lenders, as well as smaller businesses and individuals. We are committed to meeting your needs quickly, efficiently and successfully, taking the problem off your hands so you can get on with running your business.
We can assist with all aspects of debt recovery, from providing up-front advice on the right course of action based on your situation, through to enforcement of court judgement in England and Wales, as well as instructing search agents to trace debtors wherever they may be.
4) Enforcement by a High Court Sheriff - This method of enforcement is similar to the instruction of the Bailiff but are High Court enforcement officers, they sometimes are more effective in recovering money as they are self employed and work on commission rather than a salary. We work with two High Court enforcement agencies. The Sheriff can only be instructed where the debt exceeds £750.00.
What will it cost?
Each case will be different and our charges and costs will be discussed with a potential client at the initial interview, in most cases the first interview will be fixed at £100.00 plus vat. Please be aware that we are unlikely to assist in pursing a claim under £10,000.00 as this is likely to fall into the small claims track and legal costs are unlikely to be recoverable even if the claim is successful.
For further information please contact our experts:
Adam Manning on 02392 660261 or e-mail amannng@biscoes-law.co.uk
Kevin Richardson on 02392 660261 or e-mail krichardson@biscoes-law.co.uk