commercial litigation solicitors

Change to Small Claims Threshold

Are you owed money or do you have an invoice that has been outstanding for some time? 

If the amount that you are seeking to recover is more than £5,000 but less than £10,000 you should consider acting now and starting court proceedings if you want to recover your legal costs. 

This is because, from 1 April 2013, the upper limit for claims in the small claims track will increase from £5,000 to £10,000. 

The small claims track threshold currently stands at £5,000.  This means that if you are owed £5,000 or less, your claim is automatically allocated to the court’s small claims track.  The general rule for small claims proceedings is that even if you are successful in your claim it is not possible to recover the majority of your legal costs as only limited fixed costs will be awarded by the court.

From 1 April 2013, the small claims track limit will increase to £10,000.  This means that for any claim issued on or after 1 April 2013 for £10,000 or under it will not be possible to recover the majority of your legal costs.  If you start a claim now for between £5,000 and £10,000 then you should still be able to recover the majority of your legal costs from the losing party.  If you wait until after 1 April 2013, you will only be able to recover limited costs which will probably not equate to the actual costs incurred.

Neil Myerson LLP are the premier commercial litigation solicitors in Cheshire and South Manchester. Our expert solicitors can advise on all aspects of commercial disputes and debt recovery.

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Myerson Solicitors LLP
Grosvenor House, 20 Barrington Road, Altrincham, Cheshire, WA14 1HB
Tel: +44(0)161 941 4000
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