Quick Sanity Check: Statute Barred Debt

AndyJB_2

Hi guys,

First may I say that reading through these forums has helped me a lot so far with this case so thank you!

The story so far: our old friends, Cabot Financial (UK) Limited, have been chasing me for an old, unsecured debt from around ~10 years ago. Legal paperwork has been coming from another familiar name: Mortimer Clarke Solicitors.

Last year they sent me a series of letters so poorly printed I'm wondering how they survive! Even the most mundane business can afford letter heads and a black & white laser. I swear these things were done on a inkjet as old as this debt! I can see while people can seriously consider the letters a phishing scam.

This year they tried something new: the Small Claims Court (done through the automated on-line system I assume from the issuing court.) I knew they were on a hiding to nothing but I appreciate the standard template letters provided here to get the correct wording.

Now, reading their claim, they have down the initial debt plus various costs. So I thought "what's good for the goose..." so I filed a counter claim for an hour of my time - nothing extravagant, around £60. And, of course, my defence of "statue barred." All this through the on-line system. I also request a move to a court near where I live.

Their response to my counter claim was: it's not statued barred (but no actual proof given) and that I can't counter claim as I should do this after the case is settled... errr... so how come you guys can file for costs pre-emptively? Anyhoo, my counter claim was more about getting a reaction than the actual money so job done.

Now we have a 2-3 month window before seeing a magistrate and both parties need to file any evidence or notice of use of expert witnesses at least 14-days ahead. When I filed the counter claim I knew this would be, should I say, "the amusing period."

First letter from MCS: oh noes! your very last chance! take this one time offer! (that we have been offering for a year or so.) Not particularly surprising.

Second letter from MCS: a drop hands agreement. Really confident about that case, eh lads? Apparently I've "won" but I'd just like a few opinions first...

• If I sign this is it all over or can they just resurrect the case at some point in the future?
• Should I push my luck and go to court and get those costs repaid?
• If I did go to court is it worth filing the last 10 years of bank statements as "proof" I haven't made any payments towards this debt? I don't think handing all that info to these crooks is such a good idea.

I'm 99% certain they have no evidence to file as you wave that in someone's face straight away to apply more pressure. I'm about ~95% sure they won't turn up to court but even that ~5% chance sounds like fun.

So take the offer or open the box??!

Best Regards,
Andy

National_Debtline

Hi AndyJB


- Remember that where a statute barred defence is lodged, the burden of proof falls on the creditor, so I see no reason for you to forward on those old bank statements.


- For the creditor to be able to "resurrect" a discontinued claim in the future, they would require the permission of the court. That would imply that the court would have to be persuaded of some good reason for dredging it all up again. Not very likely in this kind of scenario.


- As for whether you elect to push forward with your counterclaim, I leave that entirely up to you.


Dennis
@natdebtline

fatbelly

The bank statements are not really proof - you can't prove a negative.

As Dennis says, it is up to the claimant to prove that you did make a payment (or otherwise acknowledge the debt) in the six years before the claim.

Your counterclaim does not seem unreasonable to me and a district judge would be used to seeing solicitors claim at maybe £200 per hour. In a small claim, each side would usually bear their own costs. However, fixed costs are payable. I think there's a good chance you would get a small sum awarded if they do not attend the hearing.

AndyJB_2

Thanks the quick responses!

As the court case is another month away I might respond with "yes, I'll agree to drop the counter claim if you pay my court fee cost"

tealady

Personally I would let them sweat (but I'm evil like that)

AnotherJoe

Who is the statue of ?

AndyJB_2

Lol... all this time and I never saw that

Final update on this one.

So I let them sweat and 2 weeks before the court date I get a call:

"Did you get our offer?" yes...
"Is it acceptable? Our clients wish to resolve this matter." no, as I see it if I sign this I'm out of pocket.
"I see, so what would you suggest?" well, how about you pay my costs?
"I'll get back to you."

A few days later I get a consent order which I signed.

A week later I get the form stamped and acknowledged from the court.

Today I'm holding a cheque for £75

Thanks again guys!

fermi

Great result.