I want to sue for money which I am owed.
What is the procedure?
A claim form should be issued; this is usually at the County Court.
The Defendant then has a fixed period of time in which to respond
to the Claim Form, failing which you will be entitled to Judgment
in Default, and can take enforcement proceedings.
If the Defendant does respond to the Claim Form and admits the
debt (or part of it) then again you will be entitled to a judgment,
ordering the Defendant to pay you the money which is admitted.
If the Defendant denies the claim, then the court will give directions
for both parties to prepare their case to be heard by a Judge
in order that a final order can be made.
You may be willing to agree a payment plan with the Defendant.
An application may be made to the court by any Defendant who wishes
to pay a judgment by instalments.
The court may list a hearing and then make a decision on the amount
to be paid each month, after taking into account the means of
the Defendant and the fact that you expect to be paid in a reasonable
period.
If the court orders payment by instalments, provided the Defendant
keeps to the payments, further enforcement action will not usually
be possible. An application can be made to review the instalments
if the Defendants means change.
What are enforcement proceedings
and will they be necessary?
Even though you have an order for the Defendant to pay you money,
payment may not be made for various reasons.
At this point you will then need to take enforcement proceedings.
This can include getting a warrant of execution whereby following
a judgment a Bailiff is requested to attend the premises of a
Defendant to obtain money or goods sufficient to satisfy the judgment
debt and warrant costs.
To find out financial information about the Defendant before bringing
enforcement proceedings it is possible to get an order for the
Defendant to attend court and give evidence under oath as to their
means.
Should I have a written Partnership Agreement?
The partnership agreement is the document that regulates the partners'
business relationship, setting out their respective rights and
obligations in all the situations that might affect the partnership.
In the absence of a partnership agreement the provisions of the
Partnership Act 1890 will regulate the partnership. These provisions
are not suited to today's business environment and every partnership,
whatever its size, should have its own partnership agreement which
is reviewed at regular intervals and kept up to date with the
circumstances of the partnership.
Where there is no written Partnership Agreement termination of
the partnership is often messy and expensive. It is far better
to spend some time on advice at the beginning than to find yourself
in expensive court proceedings when things go wrong.
