Contact our debt recovery specialists. Call 0141 331 2332
You know the old joke:
Q What is an insolvency practitioner?
A Someone who arrives after the battle and bayonets all the wounded.
Perhaps a little unfair and certainly so when it applies to U.S bankruptcy attorney Patricia Redmond.
Registry Trust has reported the number of debt decrees registered against Scottish businesses reached a record low during the first six months of the year.
There were 1,198 debt decrees registered against Scottish businesses in the first half of 2017, down a third on the previous year and the lowest on record. The total value of business decrees fell 55 percent to £7.6m and the average business decree was worth £6,342.
Ok – I really do apologise for the headline but I think it’s a good way to draw your attention to the Apologises (Scotland) Act 2016.
So it’s now official. You can apologise in Scotland for a mistake without the apology affecting your legal liability. The Act, which came into force in June 2017 provides that:
“In any legal proceedings … an apology made (outside the proceedings) in connection with any matter –
(a) is not admissible as evidence of anything relevant to the determination of liability in connection with that matter, and
(b) cannot be used in any other way to the prejudice of the person by or on behalf of whom the apology was made”.
Great emphasis has already been made about the use of statutory demands. They are best used for undisputed debts against Limited Companies and individuals as an alternative to litigation. Their popularity stems from the fact that they can be processed quicker than most court actions and often at a lesser cost. Remember that when a court action has to be raised money has to be paid into court. In Scotland these are known as ‘warrant dues’, in England issue fees.
Stephen Cowan Examines Changes to Court Procedures in Scotland when Recovering Debts
ON the 28 November 2016, Scotland’s court procedure to recover debts of less than £5,000 was radically altered. The old Summary Cause and Small Claims procedure has been swept away by new, more simple rules, with unrepresented litigants in mind. The new rules will allow the Sheriff to ‘take an interventionist approach to identify the issues, assist parties to settle if possible, and to determine how the case progresses.’
A relatively quick and inexpensive way of recovering cash from a slow paying limited company is the use of the statutory demand for payment. Many creditors prefer this to taking court action which is perceived as being both slow and costly.
Regular readers may remember the Cavendish Square Parking Litigation (Cavendish Square Holding BV [2015] UKSC 67)
ParkingEye charged £85 on an individual, Mr Beavis, for overstaying a two-hour permitted period of free parking at a retail park in Chelmsford. The Court of Appeal (in agreement with the High Court decision) rejected an argument that the charge was penal.
If I were to mention the term ‘Summary diligence’ most of you would attempt to stifle a yawn. But if I were to say that ‘summary diligence’ could avoid you in having to take court action to recover a debt because it’s the equivalent of a court’s decree then wouldn’t you sit up and listen?
Have you, like me, sat through courses on telephone collections? How many times has the course leader emphasised that we must have empathy with the customer. After all if you make “friends” with the customer you’ll be able to establish a rapport and gather information the net effect of which will improve recovery rates. All techniques we’ve been taught – open questions, closed questions, how you open the call and finally closure. Add in a bit of “treating the customers fairly” into the mix and we have the recipe for effective pre-sue collections.
The 14th January 2008 saw the introduction of new Scottish Court Limits. You will see from the below that the changes are considerable:
Testimonials
Yuill + Kyle are an extremely focused firm who are achieving great results for us north of the border. Their client-focused staff keep us 'in the loop' so we are able to make timely decisions, helping us to recover more of our money.
I would not hesitate to recommend Yuill + Kyle's services to other business colleagues. I recently sent Yuill + Kyle's pre-sue letter to 2 debtors. Within 2 days of Yuill + Kyle sending these letters one of the debtors paid his £560 and the other his £750, all for the fee of a 7 day letter!
I instructed Yuill & Kyle to send a pre-sue letter to my debtor. This resulted in the debtor paying their outstanding £2750. We also received a letter of apology from them!! Great result!!
I have to say that Yuill + Kyle have represented my best experience to date with solicitors, and although I was unable to take this matter further on this occasion I would have no hesitation in using you again or recommending you to others.
I would really like to recommend your services to everyone considering litigation. Your online service is fast, efficient and easy to use. We found that your costs are simply unbeatable for pre-litigation and I feel sure that when we require legal support, Yuill + Kyle will be our first choice.
Yuill + Kyle successfully recovered £19,000 for our client. We were delighted with their professionalism and fully intend to use them again in the future.
"Stephen Cowan displays calm equanimity in the face of challenging, complex and often adversarial situations, and responds quickly and professionally."
Contact our debt recovery specialists.Call 0141 331 2332
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