Fixed fees for a business-to-business debt that is undisputed

These costs apply where your claim is in relation to an unpaid invoice which is not disputed and enforcement action is not needed. If the other party disputes your claim at any point, we will discuss any further work required and provide you with revised advice about costs if necessary, which could be on a fixed fee (e.g. if a one off letter is required), or an hourly rate if more extensive work is needed.

The steps are outlined individually below. VAT, where applicable, is charged at the standard rate of 20%.

Stage	Description	Fees & VAT
Step 1	Attend upon you, review papers and preparation of Letter before Action only	£250 plus £50 VAT (Totalling £300 inc. VAT at 20%)
Step 2	Prepare/ issue Claim form	£250 plus £50 VAT (Totalling £300 inc. VAT at 20%)
Step 3	If no response from Defendant, request Judgment in Default; write to debtor and if Judgment remains unpaid provide letter of advice on enforcement methods	£250 plus £50 VAT (Totalling £300 inc. VAT at 20%)
Total cost		£750 plus £150 VAT (Totalling £900 inc. VAT at 20%)

If you wish us to deal with a number of claims for you at the same time, we are happy to discuss preferential discounted rates with you.

Court Fees Payable

Please note that in addition to our fixed fee for the above work there will also be a Court fees payable by you. To issue a claim for money, the fees are based on the amount claimed, including interest. The current Court fees are set out below:-

Up to £5,000 claimed: Court Issue Claim Fee of £205
£5,001 to £10,000 claimed: Court Issue Claim Fee of £455
£10,001 to £50,000 claimed: Court Issue Claim Fee of 5% of the claim

Anyone wishing to proceed with a claim should note that:

The VAT element of our fee cannot be reclaimed from your debtor if you are VAT registered.

Interest and compensation may take the debt into a higher banding, with a higher cost.

The costs quoted above are not for matters where enforcement action, such as the bailiff, is needed to collect your debt.

For claims of not more than £10,000, these will be subject to the Small Claims Track rules. Costs are not usually recoverable from the other party for small claims.

How long will my matter take?

Matters usually take 2 to 16 weeks from receipt of instructions from you to receipt of payment from the other side, depending on whether or not it is necessary to issue a claim. This is on the basis that the other side pays promptly on receipt of Judgement in default. If enforcement action is needed, the matter will take longer to resolve.

Get In Touch With Allington Hughes Law

You may contact Allington Hughes with any legal queries or questions by calling or emailing our offices. We will endeavour to offer you straightforward advice from one of our fully qualified and experienced legal team.

Please note that e-mails are a non-secure method of communicating and we cannot guarantee that your e-mail will be received by us. We do have a filtering system in place, and would always recommend that if your e-mail is urgent, that you follow it up by telephone.