Our client had 22 overdue invoices totalling the sum of £5,764.34, some of which had been outstanding for 5 months. Their credit controller had spent considerable time chasing payment on multiple occasions, without success, leading to a waste of valuable resource and time
The matter was subsequently passed to our Debt Recovery team for recovery and proceedings were issued in the County Court Money Claims Centre.
Using the late payment legislation, in addition to interest of £165.76, we were able to claim statutory compensation of £880.00 for our client. This meant an overall compensation claim of £1,045.76.
The proceedings were settled within 28 days and the claim was paid in its entirety. The Debt Recovery cost of issuing was limited to the fixed costs permitted by the Civil Procedure Rules therefore legal costs were also recovered in full.
We generally expect clients to receive a cost neutral service however this case demonstrates that cost positive claims are also possible.