Recover debt through Court

The courts each have a different claim limit.

• Small claims courts - for simple cases up to £5,000. For example consumer claims, faulty goods, goods not supplied, goods recovery, debt, breach of contract etc.
• County court - for cases from £5,000 to £30,000.
• High Court - for complex cases and all cases over £30,000.

Even once a claim has been issued it is not too late to sort out the dispute with the customer through some form of alternative dispute resolution and so avoid further court action.

The final warning letter

Whichever course of legal action you choose, you must send a final warning letter to the customer before you begin. You should do this because:

• it often prompts payment
• the courts may penalise you on costs if one is not sent

It is advisable to send the letter using a signed-for delivery service so that the customer can't deny receiving it.

Online claims

If your claim is for a fixed amount that is below £5,000, you may be able to start a claim using the NI Courts and Tribunals Service's small claims online service.