Tel: +44 (0)20 8528 1132  M: +44 (0)7807 583 836


Debt Recovery

Arif Jakobs has a track record of effective debt recovery. When a debt is settled swiftly, our initial fee is all you will pay, and if a case proceeds to Court, it is likely that your debtor will pay your costs. Our fees are based on the amount of work undertaken and, unlike recovery agencies, we do not charge fees on success.

We can accept instructions by telephone, fax or e-mail and of course you are welcome to meet us to discuss an outstanding debt. It is helpful for us to see evidence of the debt.

DEMAND Our initial procedure is to send the debtor a demand for payment within 7 days. The cost is minimal and you would have no additional commitments. Debts are usually paid following receipt of such demand.

NEGOTIATION When debts are disputed, negotiating settlements is usually more sensible than applying to issue Court proceedings, particularly when you intend to preserve a working relationship with the debtor. If there may be difficulty convincing a Court that a debt is valid we would also propose this course.

COURT PROCEEDINGS If a debtor ignores a demand or refuses to settle, then you may instruct us to issue proceedings in Court. Generally, the Court will process a claim within 10 days and the debtor will then be required to respond within 14 days.

Undisputed Cases - Upon request, the Court will enter judgment against a debtor who acknowledges that a claim is valid, or who fails to respond in time. In either case, the debtor is usually liable for the total debt, plus accrued interest, and the fixed costs incurred. If an out of Court settlement is reached after Court proceedings have been issued, it is usual for the debtor to pay your legal costs and interest, in addition to the debt.

Disputed Cases - It is not sensible for a debtor to contest a claim that can be proven, as they will simply increase their costs, but debtors sometimes believe they have valid grounds for withholding payment. In disputing a claim, a debtor may also issue a counterclaim. You may then continue the Court proceedings, attempt to negotiate a settlement, or discontinue the claim. Note that discontinuance at this stage could be costly if your claim, or any counterclaim by the debtor, exceeds £10,000 as the Court would require you to pay costs incurred by the debtor. Additionally, the debtor would still be entitled to pursue any counterclaim. Cases that cannot be settled out of Court are passed to Dispute Resolution & Litigation, who have significant experience and skill in handling complicated and aggressive litigation.

ENFORCEMENT If a debtor fails to pay following a Judgment, we can recover payment through appropriate enforcement action. For instance, we may appoint a Bailiff to collect a debt on your behalf. Where this method of enforcement would be ineffective, we might suggest that a bankruptcy petition be presented against the debtor, or recommend applying to Court to secure a debt on land owned by the debtor. We can offer appropriate guidance whatever the circumstances and we can advise specifically on the most effective enforcement method, including-

1. Court bailiff action (inc. High Court enforcement) - i.e. execution of a warrant against goods that the debtor owns

2. Third party debt order applications - security against the debtor's bank account(s)

3. Issue of a Statutory Demand - with a view to starting insolvency ('winding up') proceedings

4. Oral examinations - by the Court of the debtor regarding the debtor's assets and

5. Charging Order applications - against the debtor's property/ land (giving a creditor the right to force sale of the property).


DEMAND From £95.00 - there are no other charges at this point.

NEGOTIATING SETTLEMENT From £100.00 per hour – rates vary according to the complexity of the case and the seniority of the solicitor assigned.

ISSUING COURT PROCEEDINGS Fees will generally be added to the claim and are fully recoverable.

DISPUTED CASES Our fees are calculated on a time-costed hourly basis from £100.00 – rates vary according to the complexity of the dispute and the seniority of the solicitor assigned.