In short, a bankruptcy petition is an application filed with a court (usually by a creditor) to request that that a person who owes them money (a debtor) be declared as bankrupt by the court. Usually, once someone has been declared bankrupt, a debtor’s assets will be taken and sold in order to pay the […]
Are you looking for advice on what to do when a debtor doesn’t pay? As a creditor, it is entirely your prerogative to do as much or as little as you want when you have not been paid. At one end of the spectrum there are creditors who do nothing. Some creditors mistakenly (albeit, innocently) […]
This article considers the differences between a company and a sole trader debtor. The term ‘company’ is often mistakenly used to describe any business, irrespective of the legal entity of it. Despite it being crucial to a contract, there are occasions where a party does not know the legal entity of who they have contracted […]
This article considers the use of tracing agents to locate a debtor. With the availability of short-term rental accommodation and virtual addresses, locating a current address for a debtor who owes you money can be an important first step before beginning proceedings. The Civil Procedure Rules (CPR) permit you to serve proceedings a debtor’s last […]
A County Court Judgment is most commonly known as a CCJ. A CCJ itself is more than just a bad marker on a debtor’s file, it is an order by a court stating that the debtor owes an amount of money to another person, or business. If the debtor does not pay what’s owed under […]
Despite there being a County Court Judgment (CCJ) awarded against them, all too often a debtor fails to make payment and enforcement action becomes necessary. In this article we look at the different types of enforcement and consider the circumstances that would make a certain approach most appropriate. We also discuss the process and cost […]
When you issue proceedings against a debtor, they have various ways in which they can respond to you and the court. Generally, most money claims are issued through the Money Claims Online service. Following submission, the claim tends to be issued the next working day and then posted out to the debtor by the court. […]
A statutory demand is a formal document that a creditor sends to a debtor to demand payment of an undisputed debt. Statutory demands can be served on either an individual or company. To serve a statutory demand, an individual must owe at least £5,000 and a company must owe £10,000 (this was previously £750 but […]
Debt collection can generally be split into three different stages: pre-legal, legal, and enforcement. The ‘Pre-Legal’ Stage Pre-legal has quite a wide-ranging definition; generally, however, it refers to any action being taken before proceedings are issued and can include emails, texts, letters, and phone calls. This includes any actions taken in-house, by debt collection companies, […]
