Does every contract dispute need court proceedings?

No. Negotiation, mediation or another contractual dispute process may resolve the matter more proportionately. The correct route depends on leverage, urgency and the remedy required.

What should be preserved first?

The signed contract and amendments, key correspondence, contemporaneous records, payment documents, relevant board/commercial decisions and any material showing loss or mitigation.

What is the role of the TCC?

Where the dispute is construction or engineering based, the Technology and Construction Court provides a specialist forum for technically complex claims and adjudication-related proceedings.

Why assess settlement early?

Because legal merit is only one part of commercial value. Recoverability, management time, evidence, costs, interest, business relationships and enforcement all affect the rational settlement range.

Debt recovery & insolvency

Getting paid, not just winning.

HQ Law recovers construction and commercial debts using the route that fits the debt: a formal demand, adjudication, a statutory demand, a winding-up petition or a County Court claim. The aim in every case is recovery, so we assess whether the debtor can pay before recommending costs you may not get back.

Discuss a debt View published fees

Undisputed debts

Formal demands, statutory demands and winding-up petitions where there is no genuine dispute.

Disputed construction debts

Adjudication under the Construction Act, followed by enforcement if the decision is not paid.

Insolvency practitioners

Recovery work for insolvency practitioners, including claims by and against companies in liquidation.

The right route depends on whether the debt is disputed.

If a construction debt is genuinely disputed, adjudication gives a binding decision on the statutory timetable, ordinarily 28 days from referral subject to permitted extensions, which can then be enforced through the courts. If the debt is not genuinely disputed, insolvency procedures may provide leverage: a statutory demand gives a company 21 days to pay, and a winding-up petition can have serious consequences for its banking and trading. If the debtor is an individual, or where insolvency is not proportionate, a County Court claim may be the better route.

A winding-up petition must not be used as a debt-collecting tool where the debt is genuinely disputed on substantial grounds. The court can restrain the petition and order costs against the petitioner. We check the position before recommending this route.

Winding-up petitions

What a petition involves and what it costs.

A creditor owed £750 or more by a company may petition for its winding-up if the company cannot pay its debts. That is usually shown by an unpaid statutory demand, an unsatisfied judgment, or other evidence that the company cannot pay its debts as they fall due.

Once presented, the petition is served on the company. The Gazette advertisement is subject to the insolvency procedure timetable, including the required interval after service and before the hearing. Advertisement can have serious consequences for the company, including restrictions on banking and trading.

£352Current court fee for presenting a winding-up petition

£2,600Official Receiver’s petition deposit

£750+Minimum company debt for a creditor petition

Court fees and deposits can change. If a petition is dismissed or withdrawn before an insolvency order is made, the £2,600 deposit is generally repaid less a £50 administration fee. See the current HMCTS EX50 and GOV.UK winding-up guidance before issuing. HMCTS EX50 · GOV.UK winding-up guidance

Published fees

Debt recovery fees are published so the likely cost is visible early.

Letter before action / formal demand: £750–£1,250 + VAT. Statutory demand: £750–£1,000 + VAT. Winding-up petition: £2,500–£3,500 + VAT. County Court money claim to default judgment: £1,000–£1,750 + VAT. Defended claims and opposed petitions are quoted after review.

See full fees, disbursements and timescales

Conditional fee agreements (no win, no fee) may be available in suitable cases, subject to our assessment of the debt and the debtor's ability to pay.

Frequently asked questions

Common debt-recovery questions.

Can I charge interest on a late business invoice?

In many business-to-business contracts, statutory interest may be available under the Late Payment of Commercial Debts (Interest) Act 1998, unless the contract provides a substantial remedy of its own.

Should I serve a statutory demand or go straight to a petition?

A statutory demand is not always required. A petition can rely on other evidence that the company cannot pay its debts. The choice depends on the evidence and urgency.

The debtor says it has a counterclaim. Can I still petition?

A genuine and serious cross-claim can prevent the insolvency route from being appropriate. Where the dispute arises under a construction contract, adjudication followed by enforcement may be safer.

Do you offer no win, no fee?

In suitable cases, yes. We assess the strength of the debt and the debtor’s ability to pay first.

Next step

Discuss the debt with HQ Law

Tell us the debtor, amount outstanding, contractual basis and whether any dispute has been raised. We will run a conflict check first.

Start an enquiry Call 07843 580 112