Ex-employer claiming back money

SarEl

DVardysShadow wrote: »

I have NEVER argued to refuse to pay a properly justified debt. But SarEl, you know better than I that the are the Civil Procedure Rules. These effectively mean that you can demand a court standard of proof of the debt and then settle it if it is proved without having to go to court.

The more people stand up to this harassment for alleged debt and the more it costs to recover it, the better for us all. Perhaps it will teach these companies to get it right first time.

I am not being irresponsible. You are being feeble, suggesting that people should roll over if anyone comes to them with an alleged debt.

I did not suggest that people should roll over - I made it clear that they should ascertain whether the debt existed. But your advice was not that clear and suggested that it would cost the employer more to recover debt - it does not cost the employer more, it costs the employee more. Your advice was not clear on this point and the OP has a right to be fully informed.

SarEl

cathy2907 wrote: »

You can hold out and see what happens next. It will be costly, and cost more than the 800 to try and claim back the overpayment. Most companies do not bother past the first few letters.

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Yes, you could hold out and see what happens. But it isn't true that it costs the employer more than the £800 to claim back the overpayment - if such exists. If you "hold out" and the debt exists, they could issue court proceedings which you will pay for along with their legal costs. So any costs would be added to the debt that you owe.

Uncertain

SarEl wrote: »

Yes, you could hold out and see what happens. But it isn't true that it costs the employer more than the £800 to claim back the overpayment - if such exists. If you "hold out" and the debt exists, they could issue court proceedings which you will pay for along with their legal costs. So any costs would be added to the debt that you owe.

Surely if they bring proceedings in the small claims court it would be most unusual indeed for them to be awarded their legal costs?

I agree about the court fee.

I know lawyers delight in making threats about costs even when they know there is no realistic chance of them being awarded - something they should be struck off for in my opinion.

THE-WIFE_3

Tomx Your girlfriend must ask for proof of when and where the salary overpayment comes from as she would have paid extra tax and NI on these sums. Don't deny or agree to the debt, ask very politely for all the written details and I hope your girlsfriend has her payslips to compare. Take all the relevant info to CAB. I wonder if the company are claiming overpaid tax and NI back from HMRC?

SarEl

Uncertain wrote: »

Surely if they bring proceedings in the small claims court it would be most unusual indeed for them to be awarded their legal costs?

I agree about the court fee.

I know lawyers delight in making threats about costs even when they know there is no realistic chance of them being awarded - something they should be struck off for in my opinion.

I can't disagree with your last statement - I would never issue such a threat unless I meant it

But no, it isn't unusual for employers to claims costs in even the small claims courts and for them to succeed. It is up the the judge, but unlike in tribunals were only vexatious claims are at risk, in small claims it is far more common to successfully claim costs if the defendant has had an opportunity to settle a debt which they know they owe. In civil cases it is normal that the loosing party pays the others costs - in small claims cases the rules modify the financial risk by limiting the claims, but a good accountant (or solicitor) can rack the costs up. In addition to court costs you can claim up to £260 for legal costs, plus the costs of bringing the case to court (which could include costs for your time in attempting to to resolve the case without recourse to the law). This is incorporated within the Civil Procedures Rules. In other civil cases (not sall claims) then costs can be awarded at much higher levels.

As has been observed elsewhere on this thread, employers are getting much more savvy about their rights to claim back debts, and much more "up for it" in terms of taking their full "entitlements" to claim the maximum amount. Costs are therefore often now included in the claim, and there are even some companies around (not lawyers I hasten to add!) who specialise in recovering such debts for a fixed fee (usually, strangely enough, £260!)