Debt Recovery Process
A brief overview of the undefended business to business debt recovery process. A glossary of legal terms can be found here.
For business to consumer debts please see here.
STEP 1 – Letter before Action
1. Receive instructions from client/obtain any further information required
2. Letter before action sent – debtor has 14 days to respond.
STEP 2 – Court Proceedings
3. If no satisfactory response received to letter before action, court proceedings are issued.
4. The debtor has 14 days to file a Defence. That will be increased to a maximum of 28 days, if the debtor files an Acknowledgement of Service within 14 days of the service of proceedings
5. If no Defence is filed judgment is requested by us automatically.
STEP 3 – Enforcement of the Judgment (A full article on Enforcement can be found here)
6. Once Judgment in Default obtained, enforcement action can be taken:
(a) Arrangements, e.g. instalment payments to us. Instalments will be monitored by us and in the event of default, the debtor pursued.
* County Court, if the debt is £600.00 or under;
* High Court, if the debt is over £600.00
(c) Charging order
(d) Attachment of earnings order.
(e) Third party debt order
(f) Bankruptcy/winding up proceedings
The above is a brief overview of the process and we are more than happy to discuss with you any of the stages in more detail. You will be kept fully informed of how your matter is progressing and instructions will always be sought before any step is taken.
For further information on debt recovery or to make an appointment for an informal first discussion call Rob Winder on 01768 800855 or email firstname.lastname@example.org.