Debt Recovery Costs
The information provided is in relation to debt recovery of up to £100,000.00, where your claim is in relation to an unpaid invoice which is not disputed and enforcement action is not required.
Of course, each case is different, meaning the nature of the claim and costs will be discussed with you following your initial enquiry.
If the other party disputes your claim at any point, we will discuss any further work required and review the cost of debt recovery if necessary. This could be on a further fixed fee if, for example, a further one-off letter is required, or an hourly rate if more extensive work is required.
The initial fixed fee is £530.00, plus VAT at the prevailing rate (currently 20%), covering the cost of the following:
Verifying your ID
taking your instructions and reviewing documentation;
undertaking appropriate searches;
sending a letter before action; and,
receiving any payment and sending on to you.
Should there be no response to the letter before action, for a further fixed fee of £600.00 plus VAT we will:
draft the claim form and particulars of claim;
issue the claim at court;
where no acknowledgement of service or defence is received, apply to the court to enter judgement in default of a defence;
when judgement in default is received, write to the other side to request payment;
if payment is not received within 14 days or the time specified in the judgement, whichever is longer, provide you with advice on the next step and likely costs.
Our fixed fees do not include any disbursements, in particular the court fee for issuing a claim. The Court fees are currently:
Court fee
£35.00 to £455.00 depending
upon the value of the claim
5% of the value of the claim
Debt Value
Up to £10,000.00
£10,001.00 to £100,000.00
Please note that:
If the amount claimed is £10,000.00 or less you cannot recover any legal fees from the other party, even if your claim is successful.
Interest and any compensation claimable may take the debt into higher banding with additional costs. Should this occur we will provide you with a revised costs estimate.
The costs quoted do not cover any enforcement action, such as instructing bailiffs, if they are required to collect your debt. Or taking any further enforcement action through the Court.
Our fixed debt recovery fees are based on a straightforward, undefended debt recovery matter. A revised estimate will be provided to you upon review of the documentation and we will advise you if the matter falls outside the scope of the above estimate. If that is the case it will be payable on an hourly rate basis in line with the following rates:
Richard Mildren £300 per hour plus VAT will supervise the department.
Richard may be assisted from time to time by other members of staff who will charge at the relevant rates as per the table below:
| Directors/Solicitors/CILEX with over 8 years experience | £300 per hour |
| Solicitors/CILEX/Other fee earners with over 4 years experience | £250 per hour |
| Solicitors/CILEX/other fee earners | £200 per hour |
| Trainees/Paralegals and other fee earners | £150 per hour |
Full details for all members of staff can be found at this link
Straightforward undefended claims will usually take between 3 to 6 months from taking your instructions to receipt of payment from the other side, depending on whether or not it is necessary to issue a claim at Court. This is on the basis that the other side pays promptly on receipt of our letter of claim or judgement in default should Court proceedings be necessary. If the claim is disputed and/or enforcement action is required the matter will take longer to resolve.