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Suing: What You Need to Know as a Business
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Suing: What You Need to Know as a Business

What risks should I be aware of when suing as a business?

The most obvious risk is losing a claim in court. This can happen even if you think you have a watertight claim - there can be legal defences to even outwardly straightforward cases, witnesses may change their stories or found to be unconvincing in the courtroom, or your lawyers may have over-estimated the strength of your case.

In addition, even if you win the claim, you might have difficulty actually getting your money from the defendant. If you are awarded less than £600, county court bailiffs are appointed to enforce the judgement – but the chances of you recovering anything are relatively low. For higher amounts, High Court enforcement officers deal with enforcement, but these are potentially more expensive.

More generally, litigation is a time-consuming and stressful process, and your business activities might suffer if you end up focusing too much on the claim.

Labels: Getting Paid