What's the process for taking someone to small claims court?

murkyyodel

I paid a builder 50% of a job that would take about 5-6 weeks. Two weeks in, he disappeared, having completed maybe 20% of the job. He had asked for a deposit upfront to pay for expensive items like uPVC doors and decking, which he never delivered (if he even ordered them). After nearly three weeks of him avoiding my messages and phone calls asking when he planned to resume the job, he eventually contacted me after he saw that I'd left him a bad review and basically used that as a reason for not continuing the work. I told him I was cancelling the contract for non-performance, sent him a formal letter with certificate of posting to that effect, and now am considering my options for recovering my money.

What are the steps to follow for taking someone to small claims court? I know I need to send a letter before action (LBA), though what should it stipulate? I don't want him back to finish the work because I no longer trust him, and I've already got someone else in to finish the job off (at a much higher price than the original guy quoted me).

I'm fairly certain that I have legal protection with my house insurance - would that help me in this matter at all? I've never claimed legal costs from insurance or taken anyone to court before so I'd like to know what kind of process I'm facing before deciding to proceed. Even if I don't get my money back from the builder, I would at least like to see his company wound up so he can't pull a similar stunt on other unsuspecting customers.

Keep_pedalling

Is the builder a sole trader or a Ltd company? If the former you issue a claim against him, if the latter against the company. Don’t be surprised iIf he owns nothing in his own name or his Ltd co  goes bust and you get nothing back.

Any claim you put in will need to take account of the work he actually carried out so you can’t claim for the entire deposit.

ss2020jd

If you have legal protection with your house insurance that would definitely help you and they may even handle it all for you. 

About 16 years ago we had issues with a kitchen installation (not the company’s installer but the kitchen company ‘designer’ who ordered incorrect sizes etc and made loads of mistakes) and after failing to try to resolve with the company ourselves contacted our legal insurance and they were brilliant. 

We had to provide them with all the paperwork, emails, drawings, receipts, photographs etc and in the end the kitchen company settled before it went to the court, paying for the cost of correct items and the charge of making it good with a new installer. 

I would contact them before sending any more letters or starting the small claims procedure etc to get their advice and if they believe there is a chance they will probably take over the whole case and process it for you. It didn’t cost me anything.

murkyyodel

@ss2020jd that's great advice, thank you. I'll contact our house insurance tomorrow and discuss it with them to see whether they're prepared to handle it for us.

@Keep_pedalling I dealt with the builder through his limited company.

DullGreyGuy

murkyyodel said:

@ss2020jd that's great advice, thank you. I'll contact our house insurance tomorrow and discuss it with them to see whether they're prepared to handle it for us.

@Keep_pedalling I dealt with the builder through his limited company.

So, unless you got any personal guarantees from him, you have to take the limited company to court. Obviously one of the challenges with it all is if the company actually has the funds to pay the claim if/when you win? It can be you end up spending more money and find the company is insolvent.

The insurers will give you initial advise and tell you to send a letter before action. This needs to stipulate what you require from them, a reasonable deadline in which they are to do this and advise them of the intent to go to court if the deadline isnt met.

Once the deadline has expired and assuming no progress your insurers will then send a claim form from which they will decide if they will provide assistance. For them to do so they need to be comfortable there is a 51% or higher chance of winning AND that its cost effective to do so... they wont pay out £5,000 in legal fees to try and help you recover £50.

GDB2222

What will happen is that John Brown will wind up John Brown Builders Ltd. Before doing so, he will change the name, so it is not so easy to spot that it has become insolvent. He can then start a new company called John Brown Building Ltd. 

This is Happening all the time, I’m afraid.