It is inevitable that at some stage in business life one will encounter clients who delay in paying invoices. At Moreland & Co., we appreciate that cash flow is the life-blood of any business.
Good credit control is vital, but sometimes, efficient debt recovery, by applying the right amount of pressure, at the right time, can be of paramount importance.
The principal problem of debt collection is that, unless it is dealt with properly, it can be time consuming and laborious. This often results in debt collection work being given a low priority by solicitors.
At Moreland & Co., we undertake to ensure that the work is completed at the earliest opportunity, thus giving debt collection work the priority it requires.
We understand the debt recovery process and want to assist in making your business more successful.
Information about the fees related to the Debt Collection service are below.
Take your detailed instructions and give initial advice;
Deal with money laundering and identity check requirements;
A Letter Before Action is sent to the debtor;
If we have received settlement of the debt this will be sent to you. If the debt has not been paid, then we will draft and issue proceedings;
Where an Acknowledgement of Service or a Defence is not received within the statutory time limits, then an application is made to the Court to enter Judgement in Default;
Once a Judgement in Default is received, we write to the other side to request payment of the debt;
If payment is not received in accordance with the judgement, then we will contact you in respect of the next steps and likely costs;
If the debtor files a Defence or Notice of Intention to Defend, further instructions will be sought in order to establish whether the Defence has any merit. If it has no merit, then we will discuss with you filing an Application for Summary Judgement to the court to ‘strike out’ the debtor’s Defence. In the event that the Application is made, then we will need to attend a Hearing at Court to prove the application, you will be notified in advance and advised of the additional charges that are likely to arise;
Once Judgement has been obtained, you are immediately informed and we will advise you as to what enforcement action we believe you should take.
Each transaction will vary according to individual circumstances. However, as a guide, the average process takes between 4-18 weeks.
The shortest time scale is based on court proceedings not being required.
The longest time period is when judgement is obtained in default.
If an Acknowledgement of Service or a Defence is filed, we will advise you of the likely costs for a defended claim and the timescales.
If enforcement action is needed, the matter will take longer to resolve. The matter will be transferred to the High Court for enforcement for which there is a court fee. It will also incur additional legal costs.
We will be able to advise you of the most appropriate method of enforcement at the time and provide you with an estimate of our fee, court fees and of the disbursements involved.
Our fees below apply to a claim for an outstanding debt which is not disputed /defended and includes all stages to Default Judgement being entered.
DEBT VALUE COURT FEE OUR FEE (EXCL. VAT)
Up to £10,000 £35.00-£455.00 £1,000.00
£10,001-£50,000 5% of the value of the claim £2,000.00
£50,001-£100,000 5% of the value of the claim £3,000.00
£100,001- £200,000 5% of the value of the claim £5,000.00
£200,001 and above £10,000.00 £10,000.00
Anyone wishing to pursue a claim should note that:
For further information on any of our Debt Collection services, or to make an appointment for an informal first discussion, please Contact Us.
Initial consultations are free of charge.
Copyright © 2020 Moreland & Co. Solicitors - All Rights Reserved.
Moreland & Co. is a trading name of Moreland & Co. Solicitors Limited
Registered in England & Wales. Co No 05777834
Authorised & Regulated By The Solicitors Regulation Authority - SRA No. 441007
You may have received an email purporting to be from Moreland and Co Solicitors - this may be a Phishing attempt. If you have received something that looks suspicious or if you have any concerns, please do not open any attachments and contact us.