How do I pursue an unpaid debt?

Chasing bad debts – what is the process?

Julian Wintle set out the basic process if you decide to make a claim to pursue and unpaid debt. If we can help with issues relating to this note please contact julian@bradleyhayneslaw.co.uk or call us on 01905 900 919. 

Recovering debts is one of the most common instructions we receive in the Litigation Team at Bradley Haynes Law.  Debt recovery through the courts is often described as a money claim.

This is the first article in a series that explains how to recover unpaid debts.  This overview article introduces the various aspects of recovering debts using the court process.

What is a money claim?

A money claim is a court action against an individual or business for debts owed.  Regardless of whether a claim is for monies due under a contract for the supply of goods and services or unpaid rent from tenants, it would fall under the general heading of a money claim.

Debt recovery – an overview.

Bringing a court claim to recover a debt is relatively straight forward providing the right steps are taken from the outset.  We recommend seeking specialist debt recovery advice at the earliest opportunity.  If you are a business, we can help you map out your credit control process to maximise cashflow and minimise bad debts.

As tempting as it may be to focus on your “day in court”, it is important to remember that the court rules (pre-action protocols) expect you to attempt to resolve your dispute without the need for court proceedings.  This includes formally demanding repayment of the debt by letter.  There are sanctions for failing to meet these expectations.

Should the debt remain unpaid, the court rules set out the procedure for issuing the claim and obtaining a judgment (a court order that the debt is owed).  This can all be done online.

In the event the debtor does not pay in accordance with the judgment then there are various methods of enforcement action to force the debtor to pay, for example, instructing the court bailiff to seize the debtor’s assets.

Our approach to debt recovery

We recognise the impact on you when you are owed money.  We also understand that the court process can be confusing.

First and foremost, we take a pro-active approach to all money claims and actively seek to find a solution whereby the debt is repaid without you having to go to the time and expense of issuing court proceedings.  However, if court proceedings are necessary, we ensure that all the court’s rules and expectations are met so that judgment and enforcement of that judgment are achieved with the minimum of fuss.

Do you want to know more about debt recovery?

Over the course of this series of articles, we will cover the following aspects of a money claim:

• Pre-action steps, including the use of Letters Before Action and methods of alternative dispute resolution.
• Issuing the claim, including the forms used, costs and involved and what happens once you’ve sent your claim form to the court.
• The process of obtaining judgment, including both defended and undefended cases and how these differ.
• Enforcement, including the various methods of enforcement available and the pros and cons of each method.

The members of the Litigation Team at Bradley Haynes Law have over 25 years’ experience in dealing with recovering debts, so if you are owed money please contact Julian Wintle on 01905 900 919 or by email at julian@bradleyhayneslaw.co.uk.