Chasing an unpaid invoice

[Alison556]

Just joined and hope that someone can give us some advice please.

I'm the secretary for a small animal rescue. The rescue have boarded and cared for a number of animals from a larger rescue for a year now. It was always very informal - the large rescue didn't enter into any paperwork and they paid a nominal cost every month to cover the cost of the animals - however, to my mind, they were being grossly undercharged but that's a whole different story.

Recently, relations were becoming strained between our small rescue and the larger one and we felt that to protect ourselves, we should request that a proper contract of agreement be entered into. Unsurprisingly, the large rescue refused to do this and relations became even more strained.

We registered as a non profit limited company in June and as such, we started producing invoices in the correct manner. The first invoice was paid no problem, however, the most recent invoice has not been paid in full, despite repeated requests.

We have advised them that there will be interest incurred on the unpaid invoice - they have said that they will not pay it.

We felt that we had no option but to give the rescue 28 days notice to remove their animals. This was ignored. The 28 days were up on 27th August 2012.

The rescue made no effort to remove any of their animals during the 28 day notice period and they still have not paid the outstanding account.

On Sunday, they turned up and demanded access to our property (despite being told that until the outstanding account was paid in full, they were not getting access) and they removed 8 of the animals.

We have two concerns:

1. Who now legally owns the "property" (that'll be the animals) - we would like to keep them and rehome them ourselves as we have serious concerns for them if they are removed by the other rescue

2. Can we charge interest on the outstanding invoice? We also incurred bank charges because we went overdrawn when we had to buy food in for the animals - if the invoice had been paid, then we wouldn't have went overdrawn. Can we claim back the bank charges incurred as well?

Can anyone advise what we do now?

Thank you for your time

Alison

 

[ethical PR]

1. You can give them a seven day final warning and notify them that if they don't pay, you will take them to the small claims court if any a set amount (google for details).

2.not sure what you can do with the animals as I presume someone from your organisation gave them permission to come onto your property to remove them.

 

[Alison556]

Thank you for your reply.

We will advise them they have 7 days to pay - another question though - when calculating the interest, is it up to the day you issue the final demand?

Sadly, I'm not sure what we can do about the 8 animals they removed - but we still have another 18 and we need to know who they belong to now - we're more than happy to keep them and rehome ourselves if they belong to us now.

 

[ethical PR]

1.have a look on the small claims site for clarification.

2.it depends what it says in your agreement will the larger charity. Are the animals with you temporarily until they rehome or do you look after them until you can rehome? And also what you want to happen in terms of your relationship longer term with the charity? Is there someone higher up that you can approach or someone on their trustee? Also take into account what it means for you in terms of an income stream?

 

[Alison556]

I'll check out the small claims procedure, thank you.

There has never been any written contract or agreement - they refused (we now think because it means they'd be bound by it)

The animals were with us and we rehomed on behalf of the larger rescue and, by their instruction, the donation received when an animal was rehomed, was deducted from the monthly account sent to them.

Just recently, they've decided that they want to change the way things work and that they'll sort out the rehoming (not very well I might add) and all we're doing is basically looking after the animals and assessing them.

We want to get things sorted out and just break away from them - we've asked them to sign the animals over to us so that we can have a parting of the ways but they're refusing - they want to have us holding the animals indefinitely but they don't really want to pay us for it (after all, we're in it for the love of the animals apparently - but goodness knows how their meant to eat without any funds coming in).

We've went as far up the ladder as we can - it's the founder and trustee that's causing all the problems. Not really sure what our next step should be.

Just realised though - the late payment interest charges - if it's only business to business, does it apply to business to registered charity?

 

[bwglaw]

The first invoice was paid no problem, however, the most recent invoice has not been paid in full, despite repeated requests.

Seek to claim the balance through the County Court.

1. Who now legally owns the "property" (that'll be the animals) - we would like to keep them and rehome them ourselves as we have serious concerns for them if they are removed by the other rescue

If you have possession, you are technically the owner. This issue should be made clear in your terms and conditions and setting down what will happen if Invoices are not paid on time or in full.

2. Can we charge interest on the outstanding invoice? We also incurred bank charges because we went overdrawn when we had to buy food in for the animals - if the invoice had been paid, then we wouldn't have went overdrawn.

It does sound like to me that your agreement is a commercial agreement therefore you are entitled to apply a statutory charge and statutory interest in acocrdance with the Late Payment of Commercial Debt (Interest) Act 1998 (as amended). This Act sets down how much you can charge.

 

[maxine]

Big question for me is WHY have they said they won't pay it. Whatever reason they have given will influence your next steps as otherwise you could be throwing good money after bad fighting a weak claim that is likely to get defended.

???

 

[Alison556]

There's a chance that they're not paying it just purely out of nastiness but our gut feeling is that they just don't have the money. We've discovered that this is a common occurrence with them - they run up bills then remove their animals and leave a trail of debt behind them.

 

[bwglaw]

I suspect that they think because you are a registered charity they can get away without paying bills. Some larger businesses do 'bully' the much smaller business or charity. I suggest you send a formal 'letter before action' and apply the charges and interest. Place them on notice to pay within say 7 days or you will seek to issue a claim in the County Court.

 

[Silky]

Use www.ThomasHiggins.com

Very experienced in debt collection, easy to deal with and very cost effective - a solicitor's letter for the cost of £2 can really focus the mind...

 

[arcon5]

I don't see how ops technically the owner, just holding the pets in lien.

You gave them notice to remove the animals then tried stopping them taking them.... You can't have it both ways.

Tell them they can have to animals up on full payment and keep charging boarding until they do so.

 

[Alison556]

This is turning into a bit of a saga.

We issued a final demand to them, with interest charges and the compensation fee. There was an amendment to the invoice in their favour. We issued evidence of why there was an amendment.

I did the final demand with the same Invoice Number and Invoice Date of the original invoice.

We received the following reply from them:


Invoice Reference Numbers
I have 3 different versions of an Invoice referenced R0011 all with the same generation date 9th August 2012. In the future can you please correctly reference each Invoice and correctly date them as it is mandatory that each Invoice generated has a unique number.


(they actually have two invoices - the original then the final demand)




Payment Terms
There is no agreement between ourselves to lower the payment terms to 7 days. As there is no commercial agreement/contract between ourselves the payment terms are set by UK law to 30 days. The 30 days runs from the date that a valid substantiated invoice has been received not the date set on the Invoice. Can you please amend the next invoice correctly please.


(payment terms were 7 days from receipt of the final demand - not for the original invoice)



Number of animals Invoiced.
The 3 Invoices I have here show a different number of animals and the last invoice received is incorrect as it omits animals.


(this is the amendment for which we supplied paperwork to show why there was an amendement - the amendment was in their favour)



Invoice periods.
There are several payment demands within the Invoice for periods that LASR Ltd was not in even existence. I don’t think I need to expand on that. Please rectify on the next invoice.


(this is because we had to add four animals onto the invoice and backdate their boarding charge - we had always been allowed to believe that these particular four animals were to be our personal animals and not part of the rescue. We were then told last month that ALL animals were to be considered part of the rescue - which is why they had to be added and backdated on this invoice. The period backdated does include time before we became registered as a non-profit limited company)



Late Payment of Commercial Debts
As you have not supplied an invoice that has made us aware of what we actually owe late payment interest rates cannot be applied until 30 days after we have received a mutually correct invoice.


I look forward to receiving a correct invoice for the period up to the 9th August 2012 and hope that we do not have to reject it again for incorrect content or demand for monies that you are not entitled to.


Have we blundered somewhere along the line? I would have thought that a final demand would retain the same invoice number as the original as it is a final demand for that invoice?


Alison

 

[maxine]

I think the confusion is the way you have presented the Final Demand as it must look a bit too much like an invoice!

You should have probably raised a completely new invoice for the fees and interest with it's own invoice number and recent date.

It seems to have set the tone of the correspondence coming back. Perhaps you should credit the final demand invoice for the late fee and interest and bill this on a new invoice number with a new date and tax point (though chances are you won't get paid because everyone hates paying for debt collection fees and interest).

You can then send a covering letter with the one and only outstanding and considerably overdue invoice clearly explaining the charges.

* What the charges are for
* Attach any evidence of backdated charges applied on the invoice
* Attach evidence and agreement of payment terms agreed at the time the contract was entered into.
* Explain that in any event 30 days from the date of invoice have now elapsed which is why a further invoice (enclose it) has been raised for fees and interest.

Either the person you are dealing with is rejecting invoices as a jobs-worth or is a bit too dim to understand your billing or using it as an excuse to delay payment (which is what I would put my money on).

You need to remove all opportunities for confusion and non payment and make things very clear as otherwise it will drag on.

Good luck

 

[Alison556]

The final demand was a copy of the invoice with Final Demand on it - and the amendments, plus the part payment that they had made.

Out of curiosity, they are disputing part of the invoice as the backdated payments that they insisted on us including actually span a period before we became a limited company. They are trying to get us to produce two separate invoices - one for the backdated payments up to the time we became a limited company and then another one from the period that we became a limited company - and then they are expecting another 30 days to settle these "new invoices" - but the question is - by making a part payment to that invoice that they've already received, have they accepted the details on that invoice? I hope you know what I mean - can they part pay an invoice, then say that it's incorrect and demand new invoices?

As you might have gathered, this is all very new to us and it's unfortunate that our first invoices are the ones that we're having all these problems with.

Like you, we reckon that they're stalling for time because they just can't pay it. The new invoice goes out today as well for 10th August to 9th September - can we ask for immediate payment as the payment terms or do we have to give them 30 days - there is no contract between them and us - it was always rather informal and they refused point blank and straight to enter into a formal contract of agreement.

Things are getting desperate as we're running out of money to feed their animals.

 

[Geoff T]

Sorry - to all - but SO MANY ERRORS here!

1. Interest on existing invoices does not require a separate invoice... proven fact...

2. There is NO precedence in law that "30 days credit" is law... on the contrary - credit is only at the discretion of the supplier, and not a legally - or mandatory - term.

3. you have assets - the ANIMALS - personally (depending on the amounts owed) I'd write to them saying you're taking the animals in payment of the debt. (IF finding good owners won't cover your costs - which wouldn't surprise me! - I'd issue a revised invoice for the balance which is payable by return) - and next time they turn up, call the police and get 'em kicked off site!

be happy to help if you need some...

 

[Alison556]

Thank you.

The 30 days would be past anyway - the invoice was dated 9th August.

They now want the invoice amended (to buy another 30 days we think) but they have made a part payment - have they accepted the content of the original invoice by making that part payment?

And is the interest charged from the day after the date of the invoice or from the end of the 30 day period?

 

[eventdomain]

If they made part payment - they just entered into an agreement to pay - this is all the evidence you require.

Interest is charged at 8% (Bank of England base rate), and time has nothing to do with it as its calculated at eg: total debt + 8%.

 

[maxine]

Here's my view

1) If you want to get paid for the interest and compensation then bill it separately as that is what they have asked for and it would be difficult for them to come back later and argue the toss if that is what they are proposing. Charities and non profits are a pain for knowing where every penny goes and is accounted for so I just think its easier to give them what they have asked for. You can emphasise in your communication that there has only ever been one charge made and it stands as being due for payment from 9th August.

2) The Late Payments Act from memory (which is a bit rusty) used to say something along the lines of if no contract exists or if no payment terms were agreed then 30 days from date of invoice or supply of services whichever is the latter but for the life of me I cannot find a link. You could have a look at https://payontime.co.uk/ that has some useful info.

3) Taking ownership of the animals might not be allowed in lieue of payment as there are some odd rules and laws around about what can be taken as retention of title and what can't be. In most instances for the retention clause to be valid it has to be communicated prior to the contract being entered into. However, even without a contract you are entitled to mitigate your bad debt risk by taking appropriate action. My view therefore is that you should be allowed to give notice that unless the debt is not paid within 7 days then the animals will be rehomed by you to stop the debt increasing (ie; food bills). Alternatively they could come and collect them as this would have the desired effect of you not incurring further food and caring bills and if you choose to continue to care and feed them then it seems to me that you do this at your own risk/cost.

All of this should be covered by your own terms and conditions of supply of services regardless of whether a contract is in place and signed by your customer. What I mean by this is that your organisation says how it does business and those terms are standard for all customers who would have been "told" the terms (not requested to sign or agree). It sounds as if you need to get some legal advice to get these terms in place and take advice on how to ensure your whole customer base is bound by them. It sounds as if you need to tighten up on future instances like this.

Is all of this being done by email? Can you not get on the phone and talk with a sensible person in charge or go and visit them instead to discuss face to face?

If you go back with another letter or written communication I think it is worth reminding them that whichever way they look at it 7 days, 30 days, etc the bill is now overdue for payment so it's 7 days notice time before re-homing the animals or allowing them to collect them.

Even if they do pay in the next day or so you may still want to consider giving them notice of an acceptance to your terms to continue to use you otherwise remove the animals or allow you to re-home them.

 

[maxine]

...but they have made a part payment - have they accepted the content of the original invoice by making that part payment?

No. They have clearly raised a dispute against the remaining part. The only time it is taken as acceptance if it is a time to pay arrangement whereby you advice of the total amount outstanding, a payment schedule is proposed, and one/some of those proposed payments are made but not all. This is because the overall total debt has been agreed and it's just part that has actually been paid so far towards the whole.

 

[Alison556]

I must be really thick because I'm just not catching on what we need to do - plus I'm probably not explaining it very well.

They're not disputing the amount on the invoice - just how it was presented. Because part of the backdated charges encompassed a period before we became a non-profit limited company, they're saying that we need to re-issue the invoice with one invoice for the time that the backdated payment starts up to the time we became a non profit ltd company, then another invoice from that date to the date of issue of the invoice - and then they get 30 days from the receipt of these new invoices to pay. This is why I wondered if they could dispute the invoice over a month after it was issued and after they'd paid nearly half of it.

We're trying to do as much of this as we can and without legal or debt collection fees as this would take desperate funds away from the animals. Obviously, if this is what we have to do, then we have to do it, but it's a last resort.

 

[maxine]

Ok

So maybe here is a way to look at it ... After this is over you don't want to deal with them and they don't want to deal with you. If you go to debt collectors or could you are probably going to look at 6 weeks before payment anyway so the quickest option to get paid is likely to be to give them what they want

It's unfair but in the absence of a contract a bit tricky. I guess there is also potential to dispute the backdated charges too prior to being non profit ltd co.

How would you feel about re-invoicing and splitting the charges out and accepting the 30 days to pay BUT take action about costs for animals now

You could still press ahead with your request for payment in advance as this is entirely your decision to mitigate your credit risk / stop the debt from increasing. You can raise what some people call a proforma invoice for immediate payment and give them notice that the animals either need collecting or will be rehomed by you after a certain date. At least this would cover the costs you need now and put a stop to the debt increasing

 

[maxine]

If you want to play hardball you could write to them and say there is no need to split out the charges, the invoice is overdue, fees and interest have been added and will continue to be added until paid and furthermore they have got 7 days to either collect the animals or them to be rehomed with donations being offset against recent care fees not the original debt amount

Unless payment is received in 7 days a debt claim will be raised in the county court with the court fee also added

 

[bwglaw]

They now want the invoice amended (to buy another 30 days we think) but they have made a part payment - have they accepted the content of the original invoice by making that part payment?

They are evidently dragging their feet to buy themselves time. The part payment has now affirmed that there is a contract in place, the issue here, is what terms were agreed i.e. number of animals, unit price and when payment should be paid.

And is the interest charged from the day after the date of the invoice or from the end of the 30 day period?

Statutory interest applies from the 30th day from the date of Invoice. Do not forget to apply the statutory charge which varies according to the debt amount.

There is no need to raise an Invoice for the statutory charge/interest - a letter to them will be sufficient to merely notify them of the charges being applied.

On all our Invoices we have the following statement:

LATE PAYMENT CHARGES AND INTEREST is applied in accordance with the Late Payment of Commercial Debt (Interest) Act 1998 and subsequent legislation.

- this dispenses with the need to send out a notice.

Interest is 8% ABOVE the BEBR, thus 8.25%- I usually state the 'daily equivalent' so that the debtor is aware of the daily accrual until payment in full.

 

[Charlie B ACS]

Have I missed an interest rate drop?

The reference rate for the Late Payment of commercial Debt (Interest) Act is set every 6 months. The rate set at 1st July was 0.5%

 

[bwglaw]

Have I missed an interest rate drop?

The reference rate for the Late Payment of commercial Debt (Interest) Act is set every 6 months. The rate set at 1st July was 0.5%

An oversight on my part. The interest rate in my posting should have read 8.5%, not 8.25%.

 

[Alison556]

They are evidently dragging their feet to buy themselves time. The part payment has now affirmed that there is a contract in place, the issue here, is what terms were agreed i.e. number of animals, unit price and when payment should be paid.

That's what we think too. Is it definite that part payment affirms that there is a contract in place? They'll pick me up with great enjoyment if I get anything wrong!

The invoice details the name of each animal, the number of days and the amount. The only thing that we've never done is stipulated a time for payment being made - as I said, it's always been very informal and we had no problem at first. However, they've always paid the invoice within 7 - 10 of receipt so I'm guessing that that've set a pattern as to when they've paid previous invoices??

Statutory interest applies from the 30th day from the date of Invoice. Do not forget to apply the statutory charge which varies according to the debt amount.

Oops, I've blundered there then because I used a late payment calculator which asked for the date due, which I put as 10th August and it calculated from there.

There is no need to raise an Invoice for the statutory charge/interest - a letter to them will be sufficient to merely notify them of the charges being applied.

Was it OK to send a copy of the invoice with "final demand" on it and an addition at the bottom showing the payment received, the outstanding amount and then the calculation of interest and compensation charge? I sent a cover letter as well stating that the invoice was overdue and we were adding in interest and compensation under the Late Payment act.

I've got at the bottom of the invoice:

"We will exercise our statutory right to claim interest and compensation for debt recovery costs under the late payment legislation if we are not paid according to our credit terms."

I've added to the invoice that payments terms are that payment is required within 14 days of the receipt of the invoice.

 

[Alison556]

Ok

So maybe here is a way to look at it ... After this is over you don't want to deal with them and they don't want to deal with you. If you go to debt collectors or could you are probably going to look at 6 weeks before payment anyway so the quickest option to get paid is likely to be to give them what they want

We just want to end the relationship with them altogether - but we do feel we have a duty of care to the animals with us - we have grave concerns over their welfare if they move them to other premises they use. I won't go into the gory details but ideally, we would like to rehome them as quickly as possible ourselves - which is why we wondered if we could do that since they did not comply with the notice to remove the animals.

It's unfair but in the absence of a contract a bit tricky. I guess there is also potential to dispute the backdated charges too prior to being non profit ltd co.

They don't actually appear to be disputing the backdated charges - they couldn't really as we have all the proof of when we got the animals.

How would you feel about re-invoicing and splitting the charges out and accepting the 30 days to pay BUT take action about costs for animals now

I'm not sure what you mean (being a bit blonde again)

You could still press ahead with your request for payment in advance as this is entirely your decision to mitigate your credit risk / stop the debt from increasing. You can raise what some people call a proforma invoice for immediate payment and give them notice that the animals either need collecting or will be rehomed by you after a certain date. At least this would cover the costs you need now and put a stop to the debt increasing

If I split the charges, do you mean I can issue the two new invoices as a pro forma which would get rid of the need for the 30 days to pay?

I'll be honest, we can't wait another 30 days to be paid. We don't actually think we'll ever get the money they owe, but if they're not paying and they've technically "abandoned" the animals (they don't have anywhere to put them nor can they afford to pay other establishments - this we know for a fact), we can put an appeal out asking for help with food, donations, etc and give a brief explanation of why - but whilst they are dragging their feet and wanting extra time, we can't do that.

 

[bwglaw]

That's what we think too. Is it definite that part payment affirms that there is a contract in place? They'll pick me up with great enjoyment if I get anything wrong!

It is likely that a contract subsisted before payment arrived anyway, but the fact that they have made payment has affirmed the existence of that contract and if the terms are clearly agreed it will become more difficult for the debtor to argue otherwise (unless the payment was clearly made 'under protest')

The only thing that we've never done is stipulated a time for payment being made - as I said, it's always been very informal and we had no problem at first. However, they've always paid the invoice within 7 - 10 of receipt so I'm guessing that that've set a pattern as to when they've paid previous invoices??

In the absence of any terms and conditions (or contract) to the contrary, the law says you are entitled to be paid within a reasonable time. There is no automatic or statutory right for a creditor to be allowed to pay within a specified time, other than a 'reasonable time' - this can be as little as 'within 7-days'.

Was it OK to send a copy of the invoice with "final demand" on it and an addition at the bottom showing the payment received, the outstanding amount and then the calculation of interest and compensation charge? I sent a cover letter as well stating that the invoice was overdue and we were adding in interest and compensation under the Late Payment act.

I cannot honestly see any harm done here (other than creating confusion) but, respectfully, you may wish to review your credit control process to ensure you are paid promptly and your business is not put at risk by dispensing too much credit. You may wish to consider a comprehensive set of terms and conditions if you have not already done so, or to review your current terms to ensure a lien is included and complies with the Tort (Interference with Goods) Act.

I've added to the invoice that payments terms are that payment is required within 14 days of the receipt of the invoice.

I suggest for future invoicing this is changed to '14-days from date of invoice', which from experience, reduces the number of 'not received your Invoice' excuses.

 

[internetspaceships]

I suggest for future invoicing this is changed to '14-days from date of invoice', which from experience, reduces the number of 'not received your Invoice' excuses.

No. The only thing that reduces the "not received your invoice" excuse is sending a mail a week after the issue of said invoice to confirm they have received it.

Changing the payment terms of the invoice has absolutely no effect at all.

Also if you're not emailing invoices with read receipts in this day and age then maybe you need to get with modern times. By you I mean "one" not BWG

 

[simon field]

Sorry Jon, but how does you sending them a 'mail' a week later confirm they received the invoice?

 

[internetspaceships]

You're right I typed too fast. I should have written "sending them a mail, and if no reply following up with a phonecall."

Works for us. Average late days of 5 on our client accounts.

It's all got to be laid out in a system. The vast majority of companies who can't collect money fail because of their own procedures not the clients'.

 

[Geoff T]

Alison - (OP) - a week on, how are you doing? Did you get the rest of the money owed and/or get this sorted ok?

Aside from the legal side, and the future terms thing, I appreciate that you need to look for payment sooner rather than later...

Did you get the money?

 

[Alison556]

We're no further forward. Now we've got two unpaid invoices (the outstanding one plus the next month's invoice) and we need to try and get some money together to go for debt recovery - every last penny was used feeding the animals - though the other rescue turned up on Monday with the police in tow and removed all the animals - we explained that we had been advised that we were entitled to retain the animals until the bill had been paid but the police told us that we'd be charged with theft if we didn't hand them over!

Given that we've spoken to other businesses who are owed over 10 times the amount we're owed, I don't think we've got a hope in Hades of getting the money.

We can but try though.

 

[Safe_Collections]

...get some money together to go for debt recovery...

Please do not pay in advance for debt recovery! Quite simply there is no need to if the agency are confident they can assist If they are then why ask for payment in advance?

It is especially important to avoid further compounding your potential loss, given that you state:

...we've spoken to other businesses who are owed over 10 times the amount we're owed...

Having followed this thread for a while we couldn't improve on the advice given by most posters so have kept quiet

But you need to think carefully before spending money you don't have on trying to collect a debt that may realistically already be a write off.

Please note we aren't saying it is hopeless, just trying to be realistic.

 

[Alison556]

Thank you for that - it's good to know that we shouldn't pay in advance - so if an agency wants a set up fee, should we steer clear?

Spoke to a solicitor who operates a no win no fee system - we'd have to pay the £70 costs to lodge it in court if it had to go to court.

This whole situation is horrible and totally detracts from what we're all about - rescuing animals from death or abusive situations (which is probably why we've been so rubbish with the paperwork side of things!!)

 

[Safe_Collections]

Thank you for that - it's good to know that we shouldn't pay in advance - so if an agency wants a set up fee, should we steer clear?

In our opinion, definitely. We have never understood why "set up" fees are necessary :| Initial costs to an agency are negligible yet we know of a number of agencies that charge £250 or more just to place an account for collection

And as previously stated, if they are as confident as they no doubt claim to be why don't they charge on collection?

Spoke to a solicitor who operates a no win no fee system - we'd have to pay the £70 costs to lodge it in court if it had to go to court.

That may work, but you need to clarify what the solicitor will charge if the matter is defended. You may find that in the event a defence is received the solicitor will charge by the hour, but this varies from firm to firm.

This whole situation is horrible and totally detracts from what we're all about - rescuing animals from death or abusive situations (which is probably why we've been so rubbish with the paperwork side of things!!)

Unfortunately some people will always try and take advantage of others

One further point to consider, have you looked at the debtor company to see if it already has County Court Judgments against it?

 

[Alison556]

One further point to consider, have you looked at the debtor company to see if it already has County Court Judgments against it?

Where would I find that information? For some reason, people seem to be frightened to take this charity on - despite being owed 10's of thousands of pounds. They keep making threats about legal action and then the poor souls they're owe money to back off - yet not one person I've spoken to has had any solicitors letters from them. Just the threat.

 

[Safe_Collections]

Where would I find that information? For some reason, people seem to be frightened to take this charity on - despite being owed 10's of thousands of pounds. They keep making threats about legal action and then the poor souls they're owe money to back off - yet not one person I've spoken to has had any solicitors letters from them. Just the threat.

We would recommend a company called Risdisk for credit reports, you can get a one off report on the charity here for £10.79 (Inc VAT) It will show any County Court Judgments issued in the last 24 months, plus any accounts that may have been filed.

Or to just search for CCJs try the Registry Trust online and select England and Wales Orders & Judgments. This costs £4.00 and will only show any judgments awarded in the last six years.


https://www.riskdiskonline.com/PAYG/Reg/CompanySearch.aspx

 

[Geoff T]

OP - I have some options for you that I can check out for free if you want...

I have no problem suing charities - done it more than once in my career... being a charity in my book does not give you a card which reads "I don't have to pay"!

The options I'm thinking of should not require an up-front payment from you if they go ahead... merely give some options for you to consider...

 

[Geoff T]

Thank you for that - it's good to know that we shouldn't pay in advance - so if an agency wants a set up fee, should we steer clear?

Spoke to a solicitor who operates a no win no fee system - we'd have to pay the £70 costs to lodge it in court if it had to go to court.

This whole situation is horrible and totally detracts from what we're all about - rescuing animals from death or abusive situations (which is probably why we've been so rubbish with the paperwork side of things!!)

to be fair here... I require my clients to pay the court fee up front too, so the £70 is probably fair...

(it also gives those "in the know" an idea of the range of debt involved)