Small Claims Legal Advice

If you find yourself in the position where you are owed money by someone, understanding your legal options on how to deal with the matter is important. If the amount of money involved is relatively small, there are mechanisms and processes where you can avoid the cost and stress of a full-blown litigation case. In this article, small claims legal advice, we take a look at the options open to you.

Free Initial Telephone Discussion

For a free initial discussion on how we can help you with a commercial litigation claim that goes beyond a small claim, get in touch with us today. We will review your situation and discuss the options open to you in a clear and approachable manner. Early expert legal assistance can save you time and money and will also allow you to avoid the stress of dealing with these issues on your own. Simply call us on 0345 901 0445 or complete our online enquiry form and a member of the team will get back to you.

What is a small claim?

Small claims should be considered when relatively small amounts of money are involved or the matter can be considered to be straightforward. They are sometimes used as a means to claim money back if something has gone wrong and the amount involved is not more than £10,000. Before you start a small claim, it is a good idea to try to resolve the problem another way if you can – for example, by making a complaint or using formal mediation. Sometimes, just starting a small claim is enough to make the person or business you’re claiming against pay, so you might not have to go to court at all.

What are the rules for making a small claim?

This will depend on the circumstances surrounding the claim and will vary depending upon its precise nature.

• If you have not been paid for a service you have provided someone, you can claim up to £10,000.
• If you have paid for a service or product from someone, you can claim up to a value of £10,000. There is usually a time limit of 6 years for this but in certain circumstances, this can be 3 years. Consequently, it is important to check with a solicitor to establish the limitation period in your case.
• If you rent a property and the landlord hasn’t carried out repairs and either they haven’t repaired it and the estimated cost of repairs is up to £1,000 or they’ve repaired it but you’re claiming compensation of up to £10,000

If the person or company you’re claiming against can’t pay, you’re unlikely to get your money back. In some cases you might still be able to claim money even if they can’t pay. For this to happen they will have to own other assets.

Making the claim

Before you start your small claim, it’s advisable to write a formal letter to the person or business you are in dispute with, known as the defendant. This is called a ‘letter before claim’ or a ‘letter before action’.

You’ll need to do this even if you’ve already written to them to complain. If the letter before claim doesn’t resolve the problem, you can start your small claim by filling in a form.

Your letter should include:

• your name and address
• a summary of the facts of the case
• what you want the person or business to do about it
• how much money you are looking to claim and how you have arrived at this figure.
• a deadline for reply – usually 14 days
• that you’ll start court proceedings if you don’t get a reply

You should also state that you and the defendant both have to follow the court’s rules on what to do.

Keep a copy of the letter and ask the Post Office for proof of postage – you might need to show when you sent your letter.

The other person or business usually has to reply to your letter within 14 days. It could be longer if the matter is complicated.

If they don’t agree with your claim, they should say:

• the reasons why and which facts they don’t agree with
• if they’re planning to make a claim of their own (a ‘counterclaim’)

If the other person or business makes a counterclaim, check the facts they’re relying upon and make a note of anything you disagree with. Also, try to find evidence to prove they’re wrong.

Small claims hearing

If you haven’t managed to resolve your problem by starting the claim or through mediation, you’ll probably need to go to a court hearing. In some cases, the judge might consider that it’s not worth having a hearing. This might be because you or the person you’re in dispute with doesn’t have a strong case or the court thinks it can deal with your claim without a hearing and all sides agree to this.

At the hearing, you’ll be questioned by the judge. You’ll be in a normal room and you’ll sit separately from the defendant. The judge won’t wear a wig or gown.
Small claims hearings are public so there might be people watching, but usually, only people connected to the claim will be there. The judge will give their decision or ‘judgment’ at the end of the hearing and briefly explain the reasons. If the case is decided without a hearing or one side doesn’t attend, the court will send a copy of the judge’s reasons to each side.

Rules governing a claim in court

If you do decide to go to court, you will be expected to stick to rules that cover court action. These rules are set out by the Ministry of Justice and include:

The Civil Procedure Rules, and

Practice Direction on pre-action conduct.

If you or the defendant don’t follow these rules, the court will take this into account when they make their decision. If you haven’t co-operated, you may find that the case won’t be heard or that the amount you are awarded if you win is reduced.

How we can help

We have a proven track-record of helping clients with litigation cases. We firmly believe that with the right solicitors by your side, the entire process will seem more manageable and far less daunting.

How to Contact our Commercial Litigation Solicitors

It is important for you to be well informed about the issues and obstacles you are facing. However, expert legal support is crucial in terms of saving you money and ensuring you achieve a positive outcome.

To speak to our Commercial Litigation solicitors today, simply call us on 0345 901 0445, or allow a member of the team to get back to you by filling in our online enquiry form. We are well known across the country and can assist wherever you are based. We also have offices based in Cheshire and London.

Authored by Ben Posted in Litigation, News Tagged as