No default, No pre action letter, now a County Court Claim Form

[THEJONAS]

It's really got to be your decision. But that's pretty much what you wanted, especially the period to make the payments. You could write another 'Without Prejudice Save as to Costs' letter stating, you agree to the Tomlin Order, but that you didn't receive the pre action letter prior to their clients Claim and as there is a 'cost of living crisis' which directly impacts you and your family as stated in your previous letter, you don't believe that you should be held liable for their client's costs.

Just received an email from them just now

Original debt £11,388.49 + costs currently at £1,674.24

These are the costs which are client has incurred to date as a result of their efforts in recovering the outstanding sums from you. Please note, the costs will increase if we are required to attend a hearing as there will be more legal cost included as well as the fee for instructing an advocate to attend the hearing.


Should you agree to repayment of £xxxx per month, this will be agreed by way of a Tomlin Order in respect of both accounts and will avoid a County Court judgment being granted against you as long as the repayments are maintained.


Alternatively, we are instructed to proceed with the hearing.

An extra £1674 cost is this justified?

[THEJONAS]

Just received an email from them just now

Original debt £11,388.49 + costs currently at £1,674.24

These are the costs which are client has incurred to date as a result of their efforts in recovering the outstanding sums from you. Please note, the costs will increase if we are required to attend a hearing as there will be more legal cost included as well as the fee for instructing an advocate to attend the hearing.


Should you agree to repayment of £xxxx per month, this will be agreed by way of a Tomlin Order in respect of both accounts and will avoid a County Court judgment being granted against you as long as the repayments are maintained.


Alternatively, we are instructed to proceed with the hearing.

An extra £1674 cost is this justified?

Or should i just commit?

[echat11]

Email back another 'Without Prejudice Save as to Costs' that if the matter goes to Hearing, you will ask the Court to look at the Costs they are claiming and ask for a total breakdown.

That is a 'ridiculous' figure.

[Pezza54]

Post 3 Particulars of Claim states total claim £2800 for accounts listed below
Has the claimant added all 3 debts together to make one claim?

This claim should be allocated to the small claims track and if the claim is successful the claimant's legal rep is likely to be awarded only court claim and hearing fees plus expenses allowance (about £100 max)

[THEJONAS]

Post 3 Particulars of Claim states total claim £2800 for accounts listed below
Has the claimant added all 3 debts together to make one claim?

This claim should be allocated to the small claims track and if the claim is successful the claimant's legal rep is likely to be awarded only court claim and hearing fees plus expenses allowance (about £100 max)

This is their email

(First debt)
Original debt £11,388.49 + costs currently at £1,674.24; and

(Second debt)
Original debt £2,536.75 + Costs of £195.00.

The total sum of your liability is therefore £15,794.66 in respect of both the above matters.

Please note, the costs above are higher in respect of the larger sum due in part to the Court fee for issuing the Claim being higher and also due to the application which has been made for which you will be liable to pay the costs. These are the costs which are client has incurred to date as a result of their efforts in recovering the outstanding sums from you. Please note, the costs will increase if we are required to attend a hearing as there will be more legal cost included as well as the fee for instructing an advocate to attend the hearing.

Should you agree to repayment of £160.00 per month, this will be agreed by way of a Tomlin Order in respect of both accounts and will avoid a County Court judgment being granted against you as long as the repayments are maintained.

Alternatively, we are instructed to proceed with the hearing which is due to be listed at the County Court at Wolverhampton imminently and if the application is successful, Judgment will be granted against you, a CCJ registered against your credit file and you will be ordered to pay the above sum, together with any increase in the costs incurred. It is our client’s preference to avoid this outcome, and we would therefore invite you to confirm your agreement to the above as a matter of urgency.

[THEJONAS]

This is their email

(First debt)
Original debt £11,388.49 + costs currently at £1,674.24; and

(Second debt)
Original debt £2,536.75 + Costs of £195.00.

The total sum of your liability is therefore £15,794.66 in respect of both the above matters.

Please note, the costs above are higher in respect of the larger sum due in part to the Court fee for issuing the Claim being higher and also due to the application which has been made for which you will be liable to pay the costs. These are the costs which are client has incurred to date as a result of their efforts in recovering the outstanding sums from you. Please note, the costs will increase if we are required to attend a hearing as there will be more legal cost included as well as the fee for instructing an advocate to attend the hearing.

Should you agree to repayment of £160.00 per month, this will be agreed by way of a Tomlin Order in respect of both accounts and will avoid a County Court judgment being granted against you as long as the repayments are maintained.

Alternatively, we are instructed to proceed with the hearing which is due to be listed at the County Court at Wolverhampton imminently and if the application is successful, Judgment will be granted against you, a CCJ registered against your credit file and you will be ordered to pay the above sum, together with any increase in the costs incurred. It is our client’s preference to avoid this outcome, and we would therefore invite you to confirm your agreement to the above as a matter of urgency.

2 debts are at the court. Of the 2, 1 is stayed and the other is ongoing. The £160 is the amount they will take for the 2 if i agree to the Tomlin Order.

[Pezza54]

So the tomlin order would be for 72 payments of £160 totaling £11,520? To cover the first 2 debts

Why hasn't the claimant included the 3rd debt, £2800 plus court and legal costs?

[THEJONAS]

So the tomlin order would be for 72 payments of £160 totaling £11,520? To cover the first 2 debts

Why hasn't the claimant included the 3rd debt, £2800 plus court and legal costs?

Not for 72 its now 98 payments by the looks of it....£15.8k÷160. I can ask them to add the 3rd one. But then is the £1.6k costs justified?

[THEJONAS]

Email back another 'Without Prejudice Save as to Costs' that if the matter goes to Court, you will ask the Court to look at the Costs they are claiming and ask for a total breakdown.
That is a 'ridiculous' figure.

These were the initial costs

Amount Claimed£11,388.49
Court Fee£569.42
Solicitor Costs£100.00
Total Amount£12,057.91

After the case was lifted it increased by £1k to make it £1.6k costs.

[THEJONAS]

Email back another 'Without Prejudice Save as to Costs' that if the matter goes to Court, you will ask the Court to look at the Costs they are claiming and ask for a total breakdown.
That is a 'ridiculous' figure.

I haven't send the email yet is there anything to add to the email other than what you said.

[Pezza54]

The court fee at 5% is correct
Add the application fee by consent £119 and the solicitor's fee for drafting 2/3 page tomlin order, still doesn't come to £1.6k
You should query the legal costs

Write back to the solicitor making your case for 72 monthly payments and the 3rd debt to be included in the 72 x £160 (£11,520 total)
State you believe you have a strong defence to their claims, refer to missing documents if there are any

[Pezza54]

If the claim being over £10k is allocated to the fast track and the claim is successful, the claimant's legal costs that you may be liable to pay will increase

Agree the terms of the TO before the solicitor drafts it, then read it over carefully making sure it covers what was agreed

Remember the company that bought the debts probably got them cheaply.

[THEJONAS]

Email back another 'Without Prejudice Save as to Costs' that if the matter goes to Hearing, you will ask the Court to look at the Costs they are claiming and ask for a total breakdown.

That is a 'ridiculous' figure.

They have agreed to reduce the amount from £1.6k to £1.2k. and they are going to combine all 3 debts for £160 per month.

[Pezza54]

£160 a month for how many months?

[THEJONAS]

£160 a month for how many months?

Till its cleared i guess. Should i ask?