Pre-Action
The dispute resolution process begins long before court proceedings, starting with a Letter of Claim (also known as a Letter Before Action or Letter Before Claim). This letter is the Claimant’s primary opportunity to clearly outline their claim, including the legal basis for it, before involving the Court. It is crucial for the Claimant to gather as much relevant information as possible when preparing the Letter of Claim to ensure that no key details are omitted.
The Defendant must then be given an opportunity to respond to the claims set out in the Letter of Claim. Their response should highlight any facts or legal arguments they dispute. The Defendant may also use this opportunity to submit a counterclaim if they have one.
There is no fixed requirement for additional pre-action correspondence beyond the Letter of Claim and the response. However, both parties should consider the Practice Direction on Pre-Action Conduct and Protocols, which emphasizes the importance of exchanging sufficient information to understand each other’s position.
If pre-action correspondence does not lead to a settlement, the Claimant must decide whether to issue the claim in court. Several factors should be considered, including the potential legal costs and the likely amount recoverable if the claim is successful.
Issuing a Claim in Court
If the Claimant decides to proceed, the claim is formally initiated by filing a Claim Form with the Court. This document provides details of the parties involved and the Claimant’s claim. The Court will then issue directions outlining the steps the parties must follow, including deadlines. These directions may lead either to an initial hearing or directly to trial, depending on the case.
Once the Claim Form and Particulars of Claim have been served on the Defendant, they will have an opportunity to submit a Defence (and a counterclaim, if applicable).
If the claim is defended or counterclaimed, the Court will allocate it to a track based on factors such as value and complexity. The track determines the procedural steps the case will follow and the extent of recoverable legal costs.
Before the trial, both parties must prepare and disclose the evidence they intend to rely on. In some cases, expert evidence may be required to support a claim or defence, depending on the complexity of the issues involved.
At trial, each party will present its case and supporting evidence. The Judge will then assess the issues and deliver a Judgment.
Alternative Dispute Resolution (ADR) & Settlement Offers
At any stage during the pre-action or court process, parties may make settlement offers. The type of offer that is most appropriate will depend on the specifics of the case.
Alternative Dispute Resolution (ADR) is another way to resolve disputes outside of court. Common ADR methods include mediation, arbitration, and round-table meetings.
Our commercial litigation team at MD Law has extensive experience handling a wide range of claims, representing both Claimants and Defendants. If you require assistance, legal advice, or wish to learn more about our services, please contact info@mdlaw.co.uk.
