Taking a Company to Small Claims Court: The Complete UK Guide (2025)

When a company refuses to give you what you're owed, small claims court is your nuclear option. It's simpler than you think, relatively cheap, and you don't need a lawyer. Here's everything you need to know about taking a company to court in the UK.

What Is Small Claims Court?

Small claims court is part of the County Court system, designed for straightforward disputes. It's:

• Informal - No wigs, no legal jargon, judges are helpful
• Cheap - Court fees from £35 to £455 depending on claim value
• Quick - Most cases resolved within a few months
• DIY-friendly - Designed so you don't need a solicitor

Claims up to £10,000 are handled through the small claims track (£5,000 in Scotland).

When Should You Use Small Claims Court?

Small claims court works well for:

• Refunds the company won't give
• Compensation for breach of contract
• Deposit disputes (though TDS/DPS is often better for tenancy)
• Faulty goods not refunded
• Services not provided as promised
• Unpaid invoices you're owed

Is It Worth It?

Before you claim, consider:

Costs vs Potential Recovery

Note: If you win, the court usually orders the other side to pay your court fees back.

Alternative Routes First

Before court, you should have:

1. Complained to the company directly
2. Gone through their complaints process
3. Tried any relevant ombudsman (free and often faster)
4. Sent a "Letter Before Action" giving them 14 days to resolve

Step-by-Step: Filing a Claim

Step 1: Send a Letter Before Action

This is legally required before court action. Your letter must:

• State what you're claiming and why
• Include a specific amount
• Reference relevant law (Consumer Rights Act, etc.)
• Give them 14 days to respond
• Warn you'll take legal action if they don't

Step 2: File Your Claim Online

Go to Money Claim Online (www.moneyclaim.gov.uk) and:

1. Create an account
2. Enter the defendant's details (company name and registered address)
3. Describe your claim clearly (what happened, what you want)
4. Pay the court fee

Tip: Find company details on Companies House (free to search).

Step 3: Wait for Their Response

The defendant has 14 days to respond. They can:

• Admit the claim - You win, they pay
• Defend the claim - Case proceeds to hearing
• Ignore it - You can request "default judgment" (automatic win)
• Counterclaim - They claim against you too

Step 4: Directions Questionnaire

If they defend, you'll both fill out a questionnaire about:

• Whether you want mediation (often required to try first)
• Evidence you'll use
• Witnesses
• Any special requirements

Step 5: Mediation (Usually Required)

The court will likely refer you to free telephone mediation. This is:

• Free
• Confidential
• Often successful
• Not binding unless you reach agreement

Many cases settle at mediation. Be prepared to negotiate.

Step 6: The Hearing

If mediation fails, there's a hearing:

• Usually 1-2 hours
• Informal setting - Small room, no courtroom drama
• Judge asks questions - They guide the process
• No cross-examination - Unlike TV courtrooms
• Bring evidence - All documents, photos, receipts

What to bring:

• Copies of all documents (3 sets: you, judge, defendant)
• Timeline of events
• Your contract/receipt
• Any correspondence
• Photos if relevant

Step 7: The Judgment

The judge decides on the day or soon after. If you win:

• The defendant is ordered to pay within 14 days
• You can add your court fees to what they owe
• If they don't pay, you can enforce the judgment

What If They Don't Pay?

Winning is only half the battle. If they don't pay:

Enforcement Options:

1. Warrant of Control (£77) - Bailiffs collect the money or seize goods
2. Attachment of Earnings (£110) - Taken from their wages
3. Third Party Debt Order (£110) - Frozen from their bank account
4. Charging Order (£110) - Put against their property

For companies, a Winding-Up Petition (threatening to close them down) often gets fast results, though it's expensive (£1,500+).

Tips for Success

Do:

• Keep everything in writing - Emails are your best evidence
• Be organised - Chronological file of all documents
• Stay factual - Emotion doesn't help, facts do
• Know the relevant law - Consumer Rights Act, etc.
• Be reasonable - Courts reward reasonableness
• Dress smartly - It shows respect for the process

Don't:

• Exaggerate your claim - Only claim what you're actually owed
• Get emotional - The judge wants facts, not feelings
• Be rude to the other side - Even if they deserve it
• Ignore their defence - Address every point they make
• Be late - Arrive 30 minutes early

Real Success Stories

James recovered £850 for a faulty laptop after the retailer refused a refund. Court fee: £70. Total time: 6 weeks. The retailer paid up before the hearing once they received the court papers.

Maria won £2,400 in holiday compensation when the tour operator denied responsibility. The company didn't even show up to the hearing, and she won by default.

Tom got £1,200 back from a builder who did shoddy work and vanished. Judgment was enforced through bailiffs after the builder ignored the court order.

When NOT to Use Small Claims

• Over £10,000 - Goes to a different court track with different rules
• Personal injury claims - Separate process with different time limits
• Complex legal issues - Might need proper legal advice
• Defendant has no money - Can't get blood from a stone

Take the Next Step

Use our Small Claims Calculator to work out your court fees and check if your case is worth pursuing. If a company owes you money and won't pay, don't let them get away with it.