Which Consumer Rights Act Template Letter Before Action

Before you consider bringing a modest claim in court there are certain preliminary steps that you volition need to take, including sending the other side a letter earlier action. Non simply is this a requirement of the rules of the court, simply it is likewise a great prompt to show the other side that you lot are serious about escalating matters. This tin can help to prompt a response if one has been lacking. This guide provides a letter before action template that is customisable to your dispute, and data about the initial steps your business concern volition demand to have before starting a minor merits.

Contents

Letter before action template
- What is a letter earlier activeness?
- What is a letter of claim?
- Practice I need to write a alphabetic character before action?
- When should I ship a letter before activeness?
- How do I write a letter before action?
- How do I use the letter before action template?
Starting a small claim
- What steps do I need to accept before starting a small claim?
- What court rules do I have to comply with earlier I showtime my pocket-size merits?
- How shortly afterwards my letter earlier activity can I beginning my merits?
- How soon later my letter before action tin can I sue in a claim for money from an individual (including a sole trader)?
Suing someone who owes your business coin
- What must I exercise before suing someone who owes my concern money?
- Do I accept to give someone fourth dimension to get debt advice if they enquire for it in their reply form?
- Do I have to hold to an instalment plan with someone who owes my business coin?

Alphabetic character before action template

What is a letter before activity?

It'southward a formal letter that must be sent to someone earlier you sue them. Information technology explains what has happened, what you are claiming and warns that you are going to sue them. It'southward also known as a letter of claim, a letter before claim or a pre action alphabetic character.

It's a serious matter to threaten legal action against someone, then using this letter should non be your very first step when y'all discover out there is an issue - try a less formal approach first to see if y'all can reach an agreement with the other side.

What is a letter of claim?

A letter of claim is another term for a letter before action. This is a final alert letter that is sent to someone before y'all take legal activity confronting them in court. It explains what has happened, what you are claiming and warns the other side that yous are going to sue them. It's also known as a letter of the alphabet before activity, a letter earlier merits or a pre action letter. In this guide, we refer to it as a letter of the alphabet before activeness.

Do I demand to write a letter before activity?

Yeah, if y'all plan on starting courtroom proceedings against someone. It is a requirement of the rules of the court (known equally the Civil Procedure Rules) that y'all write a letter before action to the other side to warn them that you intend to start a merits in court against them. If you don't send a formal letter earlier activeness to the other side before starting a claim and requite them the opportunity to reply, you run the risk of existence penalised by the court if yous exercise continue to brand a claim.

Writing a letter before action tin can likewise help y'all to settle a affair without going to court at all. This might exist beneficial to your business concern because it can be expensive and fourth dimension consuming to sue someone, even if yous win.

When should I send a alphabetic character before activeness?

If yous are because suing someone, yous should always ship a letter earlier action (or claims letter of the alphabet) first. Whilst yous don't need to wait until you've exhausted all other options before y'all send your letter, call up that it is a serious matter to threaten to sue someone, so information technology should not be the commencement step you lot accept when a dispute arises (eg considering another business owes you money).

For guidance on the options open to you, see our Q&A on handling and resolving disputes . If you lot are suing for payment of a debt, encounter our Q&A on chasing payments and enforcement for guidance on alternatives to going to courtroom.

How do I write a letter earlier action?

Your alphabetic character should include a summary of the relevant facts, what you want from the other side (including how any sum of money is calculated) and how long you will requite them to reply before y'all starting time your claim. Keep your explanations concise and include copies of any key documents that the other side will need to deal with your claim (eg invoices, contracts or terms and conditions that you will rely on).

For certain kinds of claims, in that location are particular things y'all have to include in your letter before action. Choose the letter before action template that is appropriate for your dispute:

i. Letter earlier activeness, debt claims (B2C) for small debt claims where the person you desire to sue is an individual (including a sole trader)

2. Letter of the alphabet before activeness, debt claims (B2B) for minor debt claims against another concern (not including sole traders)

3. Letter of the alphabet before action, non-debt claims for small claims where you are asking for something unlike from money owed

Alternatively you can utilise this Small claims toolkit for a how-to guide and all the relevant template documents to help y'all with a small claims process.

How do I utilize the letter before activity template?

Select the appropriate letter earlier action template (see above)
Fill in the questionnaire to customise the letter to your dispute
Download and sign your completed alphabetic character
Send it to the other side, enclosing copies of any relevant documents (hint: we've included helpful guidance in the questionnaire to indicate what you'll need to provide!)

Starting a small claim

What steps practice I need to take earlier starting a small claim?

There are rules governing your actions before y'all start a small merits confronting someone. Failure to comply with them tin cause delays to your claim and potentially toll you money. You must:

1. Read the rules on preparation that apply to your case and do what they say

in all cases read the Practice Direction for Pre-Action Conduct ; and
depending on what your claim is about, you may also need to look at specific rules for your type of claim. These are called Pre-Action Protocols. Not all types of claims take these rules, although notably claims for money due exercise.

2. Write a letter earlier action

This letter explains what has happened, what you lot desire and warns the other side that you are going to sue them.

3. Effort to negotiate and settle the matter between you

For farther guidance about steps you can take, see our Q&A on Resolving disputes proactively . The Government has issued guidance emphasising this in light of the COVID-nineteen pandemic, strongly recommending that businesses avoid legal activeness wherever possible.

four. Consider obtaining legal advice from a lawyer

It is important that there is a legal basis for your claim. Many people bringing a small claim correspond themselves instead of hiring a lawyer, but yous are entitled to get legal advice and be represented at court by a lawyer if you wish. Citizens Advice offer free legal assist if y'all are non prepared to pay for legal communication. Besides encounter this list of gratis legal clinics although bear in heed that these costless options tend to be aimed more at individuals than businesses. For admission to a specialist lawyer in a few simple steps, you can use our Ask a Lawyer service.

Our Pocket-sized claims toolkit contains a how-to guide and relevant template documents to assistance you lot with a modest claims process.

What court rules exercise I have to comply with before I get-go my small-scale merits?

In all cases, you must make reasonable efforts to comply with the Practice Direction for Pre-Activeness Conduct . In summary, you must behave sensibly and endeavour to cooperate with the other side wherever possible to resolve the matter efficiently. Suing someone should exist a concluding resort.

Depending on what your dispute is about, yous may likewise need to take reasonable steps to follow rules specific to your claim, called pre-activity protocols. Most commonly:

1. Pre-activeness protocol for debt claims

Where you are recovering money owed to you by an individual or sole trader (it doesn't utilize if coin is owed to you by another business).

2. Pre-action protocol for professional negligence

Where y'all are suing for professional negligence (eg suing your accountants or other professional person adviser.

three.Pre-action protocol for structure or engineering

For construction and engineering disputes (eg suing your architect for a building projection that went wrong.

4. Pre-action protocol for defamation

Where yous are suing for defamation.

How presently afterwards my letter of the alphabet earlier activity tin I start my claim?

You must give the other side enough fourth dimension to answer to your letter of merits before yous tin can sue them. Commonly, fourteen days is the minimum if the example is straightforward and no more 3 months in a very complex case.

In that location are special rules for how long yous must give in some types of claim, the well-nigh common of which is if you are suing an private or sole trader for money they owe you (see below).

How soon after my letter of the alphabet before action tin I sue in a merits for money from an individual (including a sole trader)?

How long this is depends on the size of your claim, what it is almost and what the other side does:

1. Coin owed by an private or a sole trader

xxx days from the date of your alphabetic character of claim.

ii. Coin owed past an individual or sole trader who is seeking debt advice

At least xxx days from the date you lot receive their reply grade telling you they are getting debt advice, longer if they ask for it and it is reasonable.

three. Coin owed by an individual or sole trader who has asked you to transport them documents

30 days from the appointment you provide these documents, or (if later) 30 days from the date you receive their reply course if information technology says they wish to get debt advice.

If yous have attempted negotiations, but you are unable to reach an understanding, you should requite at least 14 days' further detect of your intention to commencement courtroom proceedings before you lot actually sue.

Suing someone who owes your business coin

What must I do before suing someone who owes my business money?

If yous are suing an individual or sole trader who owes your business concern money, there are specific rules that y'all need to follow, which are prepare out in the pre-activity protocol for debt claims. These rules practise not utilize if you want to sue another concern that owes y'all coin.

In all cases, you lot must make reasonable efforts to comply with the Practice Direction for Pre-Action Conduct . In summary, you must behave sensibly and try to cooperate with the other side wherever possible to resolve the matter efficiently. Suing someone should be a terminal resort. The Government has issued guidance emphasising this in light of the COVID-19 pandemic, strongly recommending that businesses try to avoid legal action more than ever, reaching agreement where possible.

You must also send alphabetic character a before action; you lot can use one of our templates:

Letter before action, debt claims (B2B) if yous are suing some other business
Letter before action, debt claims (B2C) if you are suing an private or sole trader

If y'all are suing an individual (including a sole trader) you must also:

adhere a standard information canvass and a bare copy of a reply course to your letter of the alphabet (you lot can find these at page 8 of the pre-activeness protocol for debt claims ); and
reply accordingly depending on whether the other side returns the reply form to you, and if and then, what they say (see beneath).

Do I have to give someone time to go debt advice if they ask for it in their reply form?

Yeah. If y'all have sent a letter before action to a consumer or individual and a modest debt claims reply class is returned to you saying that the other side is seeking debt advice, you must give them some time. Allow at least 30 days from the date you lot receive the reply form, longer if they ask for it and it is reasonable to do then.

If they have asked you lot to send them any documents about your claims, you lot must give them 30 days from the date you provide those documents, or 30 days from the date you receive their reply form if they wish to become debt communication, whichever is subsequently.

Exercise I have to agree to an instalment plan with someone who owes my business concern money?

No, but yous should endeavor to reach an agreement if you can, based on the individual's income and outgoings.

If they have fabricated a proposal for repayment of a debt in their reply form and yous practice non agree with information technology, you should give your reasons in writing.

For detailed guidance near starting a modest merits, encounter our Q&A on small claims and letters before action.

The content in this article is up to date at the date of publishing. The information provided is intended only for information purposes, and is not for the purpose of providing legal communication. Sparqa Legal's Terms of Apply use.

Earlier joining Sparqa Legal every bit a Senior Legal Editor in 2017, Frankie spent five years training and practising as a corporate disputes and investigations lawyer at leading international law firm Hogan Lovells. As legal insights lead, Frankie regularly contributes to Sparqa Legal'south blog, writing content across employment police force, data protection, disputes and more.

Set up your Author Custom HTML Tab Content on your Contour page