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Debt Recovery under £10,000 - Small Claims Court
The Small Claims Court is a common reference for the Small Claims Track within the County Court. In addition to claiming the amount of your debt you will also be entitled to claim interest, Solicitors fixed costs and if your debt is a business to business debt you will also be entitled to claim a Late Payment Administration fee.
The financial limit for a claim to be classed as 'Small' is £10,000 (including any added interest). This provides a simplified procedure to enable parties to resolve their disputes as swiftly as possible.
The recoverability of costs in the Small Claims Track is subject to limited fixed costs and therefore the costs of the successful party will be limited to fixed amounts depending on the value of the claim and the Court will only depart from this where the losing parties conduct has been unreasonable. Accordingly, if a matter is defended to trial often the amount of costs recovered from your opponent will not be sufficient to cover the actual costs that you incur, if you use Solicitors to act on your behalf throughout those proceedings.