This update provides information on the costs associated with initiating legal proceedings as a Claimant, rather than being on the receiving end of a claim as a Defendant.
As a motor trader, you may find yourself in a position where you need to pursue a claim due to a consumer or business failing to pay for your products or services or conversely, where you have paid for a service that was not undertaken with the required care, skill, or diligence and you have suffered loss.
Lawgistics Ltd can assist you by drafting a letter before action compliant with Pre-Action Protocols as part of the service included in your membership. However, Lawgistics Litigation for the Motor Trade (CIC) can support you in drafting, filing, and managing a claim. The costs for this service are based on the value of the claim:
- Small Claims (value £10,000 or less) £297.00+VAT per case
- Fast Track & Intermediate Track Cases (value £10,001-£100,000) 10% of the total amount claimed. The first half is payable before the work commences, with the second half due at the witness statement stage (if the matter has not been settled before this).
You can read more about Lawgistics Litigation for the Motor Trade (CIC) here:
Lawgistics Litigation for the Motor Trade (CIC) – Lawgistics
Our service includes in-house work such as telephone support, liaising with the opposing party, preparing the claim form, drafting witness statements, managing additional court directions, and preparing instructions to counsel where necessary or documents to settle the claim.
While our service covers much of the work involved in a claim, there are additional unavoidable costs.
Court Fees
To initiate a claim for money, the fees charged by the court are based on the amount you are claiming, plus interest.
| Value of claim | Fee |
| Up to £300 | £35 |
| More than £300 but no more than £500 | £50 |
| More than £1,000 but no more than £1,500 | £70 |
| More than £1,500 but no more than £3,000 | £115 |
| More than £3,000 but no more than £5,000 | £205 |
| More than £5,000 but no more than £10,000 | £455 |
| More than £10,000 but no more than £200,000 | 5% of the value of the claim |
| More than £200,000 | £10,000 |
Hearing Fees
Leading experts in print, promotional clothing, staff uniforms, branded merchandise and PPE. Involution is your brand partner for promotional marketing and workwear, a one-stop-shop for your branded marketing needs for any business size and industry.
In addition to court fees, the Claimant is responsible for hearing costs. These are dependent on the track and value of the claim.
| Type and value of claim | Fee |
| Small claims track (up to £300) | £27 |
| Small claims track (£300.01 and £500) | £59 |
| Small claims track (£500.01 and £1,000) | £85 |
| Small claims track (£1,000.01 and £1,500) | £123 |
| Small claims track (£1,500.01 and £3,000) | £181 |
| Small claims track (over £3,000) | £346 |
| Fast track claims (from £10,000) | £545 |
| Intermediate track or multi-track claims | £1,175 |
Other Fees
In more complex cases, you may need to instruct an expert witness, such as a motor engineer, and/or you may require specialist legal advice from a barrister.
Recovery of Costs
For claims under £10,000, it is unlikely that the Claimant will recover any legal costs, other than court fees, even if the claim is successful.
Cases for sums exceeding £10,000 enable the successful party to claim costs in line with the Fixed Recoverable Costs Regime (FRC) and the cost tables can be found in Practice Direction 45 of the Civil Procedure Rules – PRACTICE DIRECTION 45 – TABLES OF FIXED COSTS (2024) – Justice UK.
If you are owed money and have been unable to resolve the matter amicably, contact us for assistance in pursuing a claim.
