CCJ - court appearance - the abyss!

[debtfreeplease01]

Hi

Amythest - I have read your excellent advice and I hope you can help.

I am a small business owner and in March 2010 we took out a loan with a grubby little outfit (I can name them in a private email). £15k based on future credit card receivables - time limit less. The total to repay was £21K. We had paid back over £8k by Dec 2010. We had previously been hassled by them as we were not meeting their internal targets. We complained twice in writing about this. 23.12.2010 We received the court claim forms, with an incorrect amount ,to myslef and my husband as we are personal guarantors. No previous correspondance was received to the business or us. The forms were received late due to the bad weather but I filed defence forms as there was no mention of a breach of contract and sent them and the court copies. MY mistake was not sending the court letter recorded post and when I called 04.01.11 - the court stated they had not received (christmas post?)and judgement by default had been filed(they received them 14.01.11). The claimant did receive the letter and still did not state why the forms and amount owed was asked for but refused our offer of £200.00 per month and asked for a charge on the house - we refused. I have applied for the judgement to be set aside and the hearing is set for 28.02.2011. We have previously had a good credit score and if the company had approached us we could have got a personal loan as the amount outstanding is £13k ish but because of the ccj we now cant?? I have since written to the company and their solicitors upping the offer to £300 per month but have heard nothing. We think (but still dont know) that they have called in the loan as our accounts were filed and not great (showing a small loss). I have never been to court and don't know what to expect - any advice would be gratefully received. thank you.

[debtfreeplease01]

Re: CCJ - court appearance - the abyss!

Hi any advice would be gratefully received. thanks

[Amethyst]

Re: CCJ - court appearance - the abyss!

Hi sorry missed this yesterday, thanks for bumping xx

I'm not sure I understand the basis of your loan. BAsically a business loan with a personal guarantee....they say the business breached the terms of the loan and called in the guarantee but without any pre action protocols at all went straight to court ?

You should get the set aside okay as you did submit a defence just the court hadn't received it, and I presume you have included a copy of that defence with your set aside application?

Difficult to give any opinion on your actual case without seeing the contracts and knowng a bit more.

[debtfreeplease01]

Re: CCJ - court appearance - the abyss!

Hi - Thanks for coming back to me. The basis of the loan is a sale and purchase agreement. They lent us 15k - we pay back 21k by future credit card receivables. We still have no information as to the breach but we believe it is to do with the accounts and the fact that the last few months sales have dipped. We are reasonable and if they had approached us we would have tried to find a solution to pay back a fixed sum instead. We have made two offers of a fixed sum but the first has been refused and the last offer ignored. The court has copies of the correspondance. It all seems very unfair and I'm sure they sent the forms before Christmas out of badness. Going forward any advice you can give regarding the court appearance - what to take / how to prepare. They have a solictor who may make an appearance. Will the CCJ be removed from our credit file if the set aside is granted? We could probably get a loan then to clear the balance.?I think they may push for a charging order - which I would fight - do you think the judge may look favourably to us as they havent followed pre action protocol? Will it look bad that we havent legal representation (we cannot afford this). Thanks again - never been in this situation before and its quite scary and daunting - your help is gratefully received.

[Amethyst]

Re: CCJ - court appearance - the abyss!

Would it be possible for you to post up the application text for the set aside application pls, also the original defence you entered.

Just see if we need to do a witness statement to send in before the hearing.

Most county courts are very undaunting, more like doctors surgerie, but without the coughing.... the court room should be office sized, probably with a T shaped table with the judge sitting at the top, and you one side and the claimants the other side. All courts are different but it isn't a wig, gown, stand type affair....you call the judge Sir (or Madam) and be polite and respectful towards him but don't be afraid to ask questions.

When you arrive check in at reception .... the claimant solicitor may be there (if they show up) and may ask to speak to you before hand - they are usually local solicitors and are quite nice and understand it can be nervewracking for litigants in person....they will give you an idea of what their client is going to be pushing for, but don't agree anything with them before the actual hearing.

Once we have a look at the docs we can get a witness statement together if necessary, with any paperwork necessary - to get the set aside you need to show you have a reasonable defence - so their lack of preaction protocols and all your offers etc to them will go in that. It helps to have it as a reminder what you are saying whilst in court, and gives the court a good outline of the case before the hearing.

If we need to do a Witness Statement it should be in court by the 21st Feb really, and a copy sent to the claimants, so you have a couple of weeks.

The set aside should be on the basis that you entered your defence but the court messed up, so any proof of postage etc you have you should take with you.

It won't look bad you don't have legal representation, it can put you at a disadvantage as lawyers are used to the environment and more forthright getting their view across, but courts are well used to hearing cases from litigants in person and they have to treat you the same as they would anyone else.

I've only been to court as a party three times and there are lots of people on here with much much more experience than me so I'll see if someone else will come give you some tips too. If it helps I was utterly terrified before my first hearing and I suffer terribly with a lack of confidence, but I actually enjoyed it (tho I didn't say much lol).

Does that help a little ?

[jebedee]

Re: CCJ - court appearance - the abyss!

I have been a few more times than Amethyst but all that she says is pretty accurate. Just be well prepared, use little tabs so you can find your application to set aside judgment and also your defence to the claim. Also take additional copies for the judge and the other side (I anticipate you have already sent copies to the court and the other side, but better safe than sorry.)

Essentially you are going to present your case as to why the judgment should be set aside, basically selling your point. In my experience set-aside applications are usually granted and hoppefully you will not have to work too hard to achieve this.

[debtfreeplease01]

Re: CCJ - court appearance - the abyss!

Hi Amethyst & Jebedee

Thanks for your comments and advice - I really appreciate it. I can scan in the documents - are you able to send me an email so that I can forward them to you as not sure how to post them up here as they are handwritten?

At the hearing if the other side push for a charging order - how should we respond? Would they be able to do this for a debt of £13k? Also if the set aside is granted does this mean that the CCJ is removed from the file as we may be able to get a peronal loan to make them a final offer...if this is the case what amount do you think is reasonable and may be accepted?

Thanks for your help again.