Why the client needed our help
Our solicitor client was owed £30,000 by a former individual client in respect of unpaid legal fees.
The debtor had challenged the costs through assessment proceedings under the Solicitors Act 1974, but our client was successful in defending the majority of the bill, with only a minimal reduction being made. Despite that outcome, the debtor still failed to pay the outstanding sum.
At that point, the matter had moved beyond a straightforward unpaid invoice dispute. Our client had already defended a formal challenge to its costs and needed to take effective steps to convert the unpaid liability into a recoverable judgment debt.
The client required a strategy that would not only secure judgment, but also ensure that the judgment could be enforced in a practical and meaningful way if the debtor continued to refuse payment.
How we helped
We advised our client to commence County Court proceedings against the debtor to recover the unpaid fees.
The debtor attempted to contest the claim, but on review of the position it was clear that they had no realistic basis for resisting payment. We therefore advised our client to apply for summary judgment, on the basis that the debtor had no real prospect of successfully defending the proceedings.
That application was successful, and we obtained judgment in our client’s favour.
However, obtaining judgment did not in itself result in payment. The debtor still failed to satisfy the debt, which meant the focus shifted from litigation to enforcement.
We advised our client on the most effective enforcement route and took steps to secure the judgment against the debtor’s real property. We successfully obtained a charging order over the debtor’s property, of which the debtor was the sole registered proprietor.
When the debtor still refused to make payment, we escalated matters further by commencing proceedings for possession and an order for sale. This was a significant step, but one that was necessary in light of the debtor’s continued refusal to deal with the debt despite the court orders already made.
Throughout the matter, we guided our client through each stage of the process, from the underlying fees dispute to judgment and then through to enforcement, ensuring that every step taken was directed towards achieving actual recovery rather than simply obtaining paper orders.
The outcome
We successfully obtained an order for possession and sale of the debtor’s property.
The property was then sold in order to satisfy the judgment debt.
As a result, our client recovered the original unpaid fees of £30,000 together with accrued interest, legal costs and additional costs orders obtained during the course of the proceedings.
In total, the sum recovered was approximately £90,000.
This matter demonstrates that where a debtor refuses to engage or pay, a well-planned enforcement strategy can be just as important as the underlying claim itself. It also highlights the importance of selecting the right enforcement route. In this case, securing the debt against property and pursuing an order for sale proved to be the most effective way of turning judgment into recovery.
