LegalVision can assist you with debt recovery as a member.
Here we set out important information to keep in mind in respect of these services.
Note that this applies to a dispute where a business, sole trader or individual owes you money, if your dispute involves considerations other than claiming a debt, the below information may not apply to how that claim is pursued.
There are typically 3 main stages to an uncontested monetary claim –
- Pre-Action;
- Making a claim;
- Entering judgment.
Each stage depends on whether the person who owes you money (the ‘debtor’) acknowledges or pays you the money as to whether you progress the claim further.
If, however, a claim is contested, then the step after this will be a hearing in court.
LegalVision assists its members with debt recovery through its team of experienced UK Qualified Solicitors, Registered Foreign Lawyers, and supervised Australian admitted lawyers, with experience in monetary disputes.
Members have access to Pre-Action assistance within their membership. This includes a pre-action letter and follow-up letter for each debt you are owed. A Pre-Action Letter is a demand for payment. We normally give a debtor a period of time in which to respond (generally, 7 days) for each letter before taking your instructions as to whether you would like to pursue the debt further.
If the debt is not paid at the Pre-Action Stage, LegalVision can also assist you with making a claim to recover the debt.
Where this is a small claim (under £10,000) we typically recommend for our members to pursue the claim themselves via the process set out on the gov.uk website, leveraging our guidance. Where this applies, our guidance is also included in your membership.
Where we act on your behalf in pursuing a claim in court, we operate on an hourly rate basis.
Our hourly rates (please note, these attract 20% VAT)
- £400 per hour (ex VAT) for Practice Leaders;
- £300 per hour (ex VAT) for Senior Associates;
- £225 per hour (ex VAT) Associates; and
- £180 per hour (ex VAT) Solicitors (up to 1 year PQE); and
- £110 per hour (ex VAT) for Trainee Solicitors and Paralegals.
Depending on your LVConnect Pro membership, you may be able to use your Extras Fund towards our professional fees (excluding disbursements, for example, barristers’ fees and court filing fees).
For a monetary claim of up to £100,000 you can expect to pay fees ranging from £350 – £5,000 (plus VAT) for us to prepare your claim. This depends largely on the value and complexity of what is being claimed. For more complex claims, this amount could be higher or include additional third party expenses, for example, engaging a barrister to review the claim. Our professional fees exclude VAT (at 20%), and VAT is generally not recoverable from the debtor.
In addition to our fees, you will also be required to pay court fees for the claim. The current fees applicable are:
| Claim amount | Fees |
| Up to £300 | £35 |
| £300.01 to £500 | £50 |
| £500.01 to £1,000 | £70 |
| £1,000.01 to £1,500 | £80 |
| £1,500.01 to £3,000 | £115 |
| £3,000.01 to £5,000 | £205 |
| £5,000.01 to £10,000 | £455 |
| £10,000.01 to £200,000 | 5% of the claim |
| More than £200,000 | £10,000 |
Note that the claim amount includes any interest you are eligible to claim, which will increase the total claim amount.
If the debtor does not make payment on the debt or respond to the claim within 14 days, then you are able to apply to enter judgment. LegalVision also assists with this process on an hourly rate basis. You can expect to pay between £80 – £300 (plus VAT) for our assistance to enter judgment.
If you disagree with the judgment or the matter is contested, LegalVision can assist you. In these circumstances, we will provide you with a comprehensive estimate of our anticipated fees and those of any barrister we engage to assist with your claim.
