How long do you have to defend a court claim, and what is the process?
If you fail to respond to a legal demand, a judgment can be entered against your account automatically if you do not act within the time limits set by the court. This can result in the Judgment secured against your assets and ultimately a claimant/creditor can force you to sell those assets.
Missing deadlines and failing to act on them can have severe consequences. It is important to know what to do in this situation and when to improve and protect your position. You must follow specific procedural rules to ensure your response is completed and filed correctly.
When defending a claimant’s dispute, it’s vital that your position is correctly received and heard by the court. You risk having a judge decide the case without taking into account your evidence. This could lead to an unfair outcome. If you receive a claim you have a short time to review the content and respond. You may be subject to a judgment if you fail to comply. This article explains when and how to respond to a claim. It also explains the relevant procedural laws and how you can use Alternative Dispute Resolution (such as mediation) to resolve your dispute. Helix Law’s specialist litigation team can provide you with advice regarding your specific situation. Call
for more information. Our specialist commercial, property, and construction litigation solicitors act in disputes nationally, with tens of thousands to tens of millions in disputes.
Responding to a County Court Claim
As soon as you receive notice of a claim that someone filed against you, taking action quickly is essential. You should first consider whether you require specialist legal advice. It is a serious decision to start litigation. You may face costs and, if you don’t pay, your assets could be sold without your consent.
Disputes escalate quickly. Getting legal advice early is essential to protect your position and prevent this. Many people have the misconception that a court will actively investigate or present your case. A judge will only consider the legal and factual evidence and case presented by the parties. It is up to you, the litigant, to improve and protect your position.
Reviewing the contents of documents will help you determine what the claimant wants. You should carefully consider both your position and that of the opponent and how to best move forward within the overall context. It can be extremely nuanced. If you are the Defendant and the Claimant is not able to provide evidence, then the Claimant’s claim may be invalid. They have to prove it on the balance of probability.
You can decide whether you agree or reject all or part of the claim against you. Consider if you also have a claim against the same company or person. Even this step can have serious consequences as it will result in you being sued for the amount that you admit.
This could leave you vulnerable to having your assets seized. You will need to file two documents: an acknowledgement of service and a defence form. typically, we are instructed at this stage to avoid the risk of a technical mistake or issue arising.
Below, we explain these documents and when to file them in more detail. Before taking any positive action, you need to consider whether the claim has been issued correctly or whether there is a ‘easy win” or a technical defense. It might impact the next steps you take.
Defending a Claim or Admitting Liability
Admitting Liability
- If you admit the claim, you should consider completing Form N9A if the claim is for a specified amount and Form N9C if it is unspecified or a non-money case. Each form requires you to provide the following information:
- Your details
Details of dependants
Employment details
Bank accounts and savings
Whether you own or rent your residence
Income
- Expenses
- Debts
- Outstanding court orders
- For Form N9A, you must also confirm when you agree to pay the relevant sum and whether you need to pay in instalments.
- The claimant must then respond to the admissions forms by stating if they agree with the proposed payment. If they don’t, the case will be sent back to a court for a final decision.
- This involves some very important information and details that you may not want to share. Care must be taken to determine whether this is necessary or appropriate.
- Defending an Claim
- If there is a dispute or a counterclaim you have, the content of the defence is crucial. The court encourages the use of Form N9D to defend an unspecified claim, and Form N9B for a specific money claim. Form N9B asks you to confirm the amount of the alleged debt that you dispute, and whether you are defending it based on the fact that you have already paid.
- If the claim that you are defending is worth tens of thousands or more, these forms will not be appropriate. It is better to prepare a detailed and fully-drafted defence and counterclaim, which will detail your defence as well as any counterclaim. It’s important to do this because a Defence is required to admit, deny with reasons or require the Claimant prove each paragraph in their Claim. The above forms are not adequate for this, and are rarely used.
Your Defence and Counterclaim set out the only details of your defence the court will consider — it’s therefore crucially important that the content is accurate.
Whatever approach is taken, you must explain your reasons for disputing the claimant’s position. You must be careful to consider the documents and evidence that you refer to.
You’re trying to convince the court that your position is correct and you need to think about what evidence you can use to support it. Evidence is not exchanged until the disclosure phase but it is important to consider this before drafting a Defence.
Any Defendant has the option of making a counterclaim. A counterclaim can be used to offset a certain amount against the amount claimed. You may owe money to the Claimant for X reasons (as stated in the claim), but they may also owe money to you for Y reasons. If you want to use a set-off to defend your counterclaim, this information must be included in the counterclaim.
File the Acknowledgement and Defence Forms
Upon receiving a claim you must generally file an acknowledgement and your defense with the court within fourteen days. If you need more time to prepare for your defence, then you can extend the deadline by 14 additional days by filing only the acknowledgement of service. If you file an acknowledgment, you have 28 days maximum to prepare your defence.
The form to use is N9. The parties can agree to extend these deadlines up to 28 days. However, the defendant must notify court in writing of their agreement.
Mediation and Alternative Dispute Resolution
There is now a heavy emphasis on all parties only referring disputes to court as a last resort, and the use of forms of Alternative Dispute Resolution is therefore encouraged. In its simplest form, it involves the parties (or solicitors) speaking off-the record or ‘without prejudice’.
Mediation, a more complex ADR method, is mediation. Before bringing a court case, a claimant must also follow ‘Pre-Action Protocols’. The protocols vary depending on the situation, but they all have similar characteristics. For example, sending a detailed claim letter, including relevant documents, giving time for a reply, considering a further exchange or meeting, and then issuing an official claim are all common.
Correspondence should include information such as the claim’s value, the legal and factual basis for their claim, what is in dispute and what remedy is being claimed, all with a view to trying to resolve matters without needing to go to court.
As a potential defendant, you must also act in accordance with any relevant Pre-Action Protocol, respond to this letter promptly, and confirm which elements of their claim you reject. These letters encourage parties to negotiate and settle the dispute without legal proceedings, which are often lengthy and expensive.
Mediation can be an effective way to resolve disputes; however, especially in larger commercial disputes, care needs to be taken to ensure the opportunity is not wasted and that you are positioned on the front foot in advance. This form of “alternative conflict resolution” (ADR), involves a third party who is neutral and uses their expertise to help the parties reach an agreement. It can be very effective and save time and money, but it is important to think about when to propose mediation in order to get the maximum benefit. The risks for each party will be more evident and easier to price in settlement negotiations including mediation.
Mediating early may not be feasible, and could lead to the parties becoming entrenched. Mediation too late, and the desire to recover legal fees could become a barrier for settlement. It is, therefore, nuanced, and we always consider it with clients immediately when instructed.
What Happens if You Miss Deadlines or Fail to Respond
If you fail to file either an acknowledgement of service or defence within the specified timeframes, the claimant can apply for a “default judgment”. The court can decide your case without listening to your side of the story because you did not respond within the specified timeframe.
This usually happens instantly and without a hearing. This can be disastrous for a defendant if they dispute the claim or have assets. To avoid this, you must be careful.
A defendant who misses the deadline for a court case or does not respond to documents sent to them may also incur costs. The court can order the defendants to reimburse the claimant for costs incurred in chasing down a response or acknowledgement. These are called sanctions. If you’ve missed a deadline and a sanction was ordered against you, you must act quickly.
Quality and speed are equally important. If you find yourself in this situation, our specialist litigation teams are available to help. If you don’t take action, you will probably be targeted. You do not have to be actively involved. You may inadvertently help the Claimant. You may be able to improve your position by pursuing a Counterclaim or defending a claim.
Frequently Asked Questions
What Happens When You Defend a County Court Claim?
When you defend a claim, it will proceed to trial. The court will first send out allocation and direction questionnaires, asking for details like the number of witnesses or the estimated length of the trial. The court will usually schedule an hearing to determine a trial timetable. You must first review all documents to determine if you can (or want to) defend them in full or part and if you have a counterclaim.
Consider seeking specialist advice before you take any action in this context. This includes before filing an acknowledgment of service, if you’ve just received the claim. If you’ve left it too late, you can file an acknowledgement of service and then seek legal advice.
If the time is not enough, you can ask for an extension of the deadline to defend the case by 28 days. This will give you and us sufficient time to review your situation, get organised, and get plans in motion to deal with this dispute as effectively as possible.
Final Thoughts
Defending a county court claim requires prompt action and compliance with strict deadlines. You must present your case as effectively as possible, whether you are denying or denying the claim. This will help you avoid severe consequences, such a judgment being entered against you, and ultimately the sale of assets in a forced auction.
In general, you have 14 calendar days to acknowledge service. Then, another 14 calendar days are available to file and serve the defence. Your defence must be comprehensive and clear, adhere to civil procedure rules and be supported with evidence. This document forms the foundation of your case — if good arguments aren’t included or are missed, there are usually cost consequences if you later need to amend.
Failure to meet the deadlines or adequately respond can result in a default judgment, meaning the court may rule in favour of the claimant without considering your position. Mediation is a form ADR that can also be used to resolve issues outside of court. This could save time and money. However, you should be careful to consider the timing and not delay filing your acknowledgement and defence. Mediation or ADR negotiations can continue at the same time, they don’t stop the clock.
Defending a legal proceeding is important and can be confusing. Seeking legal advice will ensure that your response is filed correctly, on time, and you are in the best position to maximize your overall position. Contact our commercial, property, and construction teams today for expert guidance and support. We are available to help you in any dispute, anywhere in the country.
