An alternative to a letter before action is a formal Statutory Demand under the Insolvency Act. This is a formal step which precedes the presentation of a Winding Up Petition against a company or a Bankruptcy Petition against an individual.
A Statutory Demand must be personally served on the debtor. We will arrange this on your behalf by instructing a process server.
If the debtor does not pay the debt or contest the demand within 21 days of receipt, you can start formal insolvency proceedings. Due to the formal appearance of a Statutory Demand and the possible consequences of non-payment, this is a much more aggressive and effective method of recovering payment. To proceed down this route the debt must be over £750 and you must not know of any dispute in relation to your claim, or a debtor can apply to the County Court to set the Statutory Demand aside.
Debt Recovery Legal Advice
It is important you seek legal advice at the earliest opportunity to make sure this is the right method of Debt Recovery for you. If you would like further information or wish to receive advice, contact our team now without obligation by calling 0800 088 6280 or email email@example.com