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Small Claims Court Settlement - Advice

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  • Small Claims Court Settlement - Advice

    Hi there,

    Hopefully someone can help me with this matter...

    I run a small business and have been taken to a small claims tribunal regarding some products that we sell. We are at a point where we are waiting for a court date but we want to draw a line under the matter so we have offered to settle out of court with the customer.

    The customer still has the products in question and has said several times on documents to us and to the court that he is willing to settle and return the goods for the full amount he wishes to claim. We contacted the claimant and agreed to this and offered to collect the said products then process his payment. He has since replied with the following detailing his terms:

    "Either

    1. The Defendant accepts the case set out in the Claim and in the Claimant’s witness statement dated 18 July 2024.
    or
    1. In relation to the goods which are the subject of this claim, the Defendant accepts that as required by the Consumer Rights Act 2015 and as set out in the Claim and the Defendant’s witness statement dated 18 July 2024: (a) the goods were not as described. (b) the Defendant has been unable to prove that the goods were of satisfactory quality or fit for purpose.

    2. The Defendant agrees to pay the Claim in full immediately upon receipt of a fully signed copy of this Agreement, by bank transfer to [details to come].

    3. The Defendant agrees to arrange collection of the goods from the Claimant, at the Defendant’s expense and at the Claimant’s reasonable convenience. The method of return shall be traceable, and the Defendant shall confirm by email immediately when the goods are received

    4. Upon completion of (2) and (3), the Claimant undertakes to withdraw the Claim.

    5. The Claimant and the Defendant warrant that the full execution of this Agreement shall be full and final settlement of the matters between them in relation to the Claim"


    I wanted to ask advice on how an out of court settlement is documented and also questions if these terms are reasonable. I find it a bit unreasonable that the defendant wants us to accept his case unequivically and that we have to refund him before we have the products returned.

    My other question is if we refuse to these terms would the court see him as being unreasonable if the case goes before a judge?

    Thanks for your help
    Tags: None

  • #2
    Can you not arrange a physical exchange of goods for cash? That is surely the main thing.
    Lawyer (solicitor) - retired from practice, now supervising solicitor in a university law clinic. I do not advise by private message.

    Litigants in Person should download and read the Judiciary's handbook for litigants in person: https://www.judiciary.uk/wp-content/..._in_Person.pdf

    Comment

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