Debt Recovery

Small Claims Solicitors Croydon.

If you have a financial dispute with an individual or a business, it can be distressing. AWAN small claims solicitors Croydon are here to help you achieve your goal cost effectively and without distress.

Here are some examples of what we deal with at Awan Solicitors:

• Debt – someone owes you money (whether an individual or a customer of your business)
• Someone has damaged something that belongs to you
• A service was carried out badly – poor workmanship
• Faulty shop purchase – you want the shop to replace faulty goods
• Internet purchase doesn’t match its on-line description/is faulty
• Holiday went badly wrong due to problems with the hotel and facilities or misdescription
• Your car still isn’t running properly despite expensive garage work
• Your landlord owes you your deposit or hasn’t made repairs.

Where the amount in dispute is under £10,000 the legal system refers to these as “small claims”. For personal injury compensation claims and landlord repairing covenants the limit is usually under £1,000.

The importance of these limits lies with the amount of the costs one can claim for using a solicitor. As an example, if you instruct a solicitor to recover £9,999 you may pay £2,000 to recover your loss but the solicitors’ costs will come out of your money and the opponent will not have to pay your costs. If the amount is £10,001 you would get your £10,001 plus your solicitor’s costs.

At AWAN solicitors, Small Claims Solicitors Croydon, no claim is too big or too small and we treat all cases with the same care and professionalism and will help you to deal with your matter as effectively as possible.

Enforcement of Judgement or getting your money after a Court Judgement

Once you get a Judgement and the opponent does not pay or settle on time you have several options to recover the full amount and additional expenses incurred including; .

High Court Sheriffs – monies and recovery of goods

Bankruptcy – If the debt is over £5,000 you make the debtor bankrupt and get paid from recovered assets.

Charging Order – if they own a property or other assets you can get an order for sale.

Other options are available.

COSTS FOR DEBT RECOVERY

 UNCONTESTED AND UNDISPUTED Debt Recovery CASES

Debt recovery cases are dealt with under two sets of formats at AWAN Solicitors, firstly the undisputed and uncontested cases and secondly cases which are contested and disputed. As set out above the costs of litigation depend on the value of the claim and whether it comes under the small claims [ under £10,000] rules or above.

Our fees can be fixed or based on hourly rates.

Each case is dealt with on it`s on merits, value, complexity and whether it is disputed or not.

Court fees are based on the value of the claim and are set out in the Civil and

Family courts fees Form EX50 and can be found at link below https://www.gov.uk/government/publications/fees-in-the-civil-and-family-courts-main-fees-ex50  

Costs:

Debt Value                           Court fees [ not included]           Our fees [ excl VAT]

Up to £5,000                         see EX50                                           £1,500.00

£5,000 – £10,000                  see EX50                                           £1,500.00

£10,000 – £25,000                see EX50                                           £2,500.00

£25,000 -£50,000                 see EX50                                           £3000.00

£50,000 – £100,000                see EX50                               To be agreed and                                                                                                                depends on complexity                                                                                                       and nature of the claim

PEOPLE WHO CARRY OUT THE WORK:

Principle Solicitor [ Mr Mumtaz Awan] and Associate [Mrs Jacqueline Awan],  whose details are set out at OUR PEOPLE section, will carry out the work. [ All work is carried out by qualified and experienced solicitors].

Our current hourly rates are:

Principal Solicitor     : £250 – £300 per hour

Associate Solicitor   : £200 – £250 per hour

On average, this type of work entails from 6 to 10 hours of work subject to level of correspondence, instructions and opponent`s responses, complexity and volume of documents involved. The exact number of hours depends on the type of your case.

Factors which may affect the hours spent can be:

  • Number of Parties
  • The amount of supporting evidence that needs to be dealt with
  • Ability to serve the claim form/documents including opponent`s address for service
  • Lack of co-operation from the opponent
  • Unforeseen complexities that may arise
  • Jurisdictions of parties (should a defendant live outside the jurisdiction we would have to revisit costs estimates dependant on the country in question)

These costs relate to undisputed claims where the Defendant/s have failed to respond to the pre action letter and/or the claim.

What services are included in this?

  • Initial attendance and advice on the case, reviewing documentation, consideration of the options and assessing most appropriate way forward based on the instructions
  • Depending on the opponent undertaking appropriate enquiries and searches
  • Preparing and sending a letter before action
  • Upon receipt of payment from the opponent/debtor send money to you and if the debt remains unpaid, draft and issue a claim on your behalf.
  • Where no Acknowledgment of Service or Defence is received to the Claim, apply to the court to enter Judgement in default
  • Following Judgement in default write to the opponent and request payment, and if payment is not received within 28 days provide you with advice on next steps [ enforcement] and likely costs involved.

The costs quoted above do not include:

  • Court Fees eg Issue Fees. This depends on the value of the claim see EX 50
  • Disbursements or other costs such as Counsel [Barrister’s fees], expert’s fees, search fees, process server and other unforeseen expense if they become necessary;
  • Enforcing Judgment or instructing debt recovery agents
  • Dealing with and responding to a Defence filed by the opponent as this would become a Disputed or contested proceedings [see below]
  • The debt may go in the higher band with interest and compensation with higher costs.
  • Jurisdictional issues including difficulties and complexities with issuing the claim in England,
  • Background or history to the claim, which may require additional time to review and investigate

If any of these costs are applicable you will be informed at the earliest opportunity and before any such fees are incurred by yourself.

Time scale (on average):

Notwithstanding Covid 19 related delays Small Claim Track  from 6 -12 months, Fast Track 12-18 and Multi Track 12-14 months.

Important Note: The anticipated number of hours, fees and timescales are estimates based on the facts above. All services are likely to vary and of course, we can give you a more accurate estimate once we have more information about your specific case.

                  CONTESTED AND DISPUTED Debt Recovery CASES

Debt Recovery where the debt that is DISPUTED – Pre Action

The costs will depend on the complexity, size and nature of the case

Costs:  Average costs range from £1000 – £15,000* without VAT for claims up to £100,000

PEOPLE WHO CARRY OUT THE WORK:

Principle Solicitor and Associate will carry out the work [ All work is carried out by qualified and experienced solicitors].

Our current hourly rates are:

Principal Solicitor     : £250 – £300 per hour

Associate Solicitor   : £200 – £250 per hour

Factors which may affect the hours spent can be:

The exact number of hours it will take to deal with the case depends on the circumstances of your case and factors set out above including quality of instructions, amounts of supporting documents, complexity of the case, number of parties and lack of co-operation from the opponents.

These costs set out here relate to disputed claims up to £100,000 only.

What services are included in this?

  • Initial attendance and advice on the case, reviewing documentation, consideration of the options and assessing the most appropriate way forward based on the instructions
  • Depending on the opponent undertaking appropriate enquiries and searches
  • Preparing and sending a letter before action
  • Pursuing further pre action correspondence
  • Upon the response or no response from the opponent to the letter before action we will advise you on the matter.
  • If you wish to pursue the matter further we will take instructions from you and all costs and fees for issuing and pursuing a disputed/defended debt claim will depend on the issues and factors set out above.

In the event of the case being defended or disputed you will be informed at the earliest opportunity and before any such fees are incurred by yourself.

Time scale (on average):

Notwithstanding Covid 19 related delays and time taken in defended cases will take longer , Small Claim Track  from 6 -12 months, Fast Track 12-18 and Multi Track 12-14 months.

Notwithstanding the above please note the anticipated number of hours, fees and timescales are an estimate based on the facts above. All services are likely to vary and of course, we can give you a more accurate estimate once we have more information about your specific case.

*Please note that these costs and estimates are based on our experience of dealing with similar cases and the costs are not an exact science and each case is different. The complexity and response from the opponent will have an impact on the time spent on the case may vary and will have a knock on effect on the costs. We will, after your instructions and upon sight of the relevant documentation, if available, advise you on the proper course of action and costs estimates. We will advise you on the case and costs and as the matter progresses and keep you updated on the costs.

Small Claims Solicitors Croydon
We will be able to give you an overview of your case and an indication of the likely costs involved.

To arrange for an appointment, please contact us by telephone or email your details and we will call you back.