How Long Do You Have to Respond to a Letter Before Action?
Receiving a letter before action, whether you were expecting it or not, can be unsettling. Understanding your timeframe for a response is vital, as is seeking independent legal advice promptly. You have limited time to gather and review information, take advice and prepare a suitable response. The Civil Procedure Rules shed light on how quickly you need to act.
What Is a Letter Before Action?
When a dispute arises, in most cases, the potential claiming party will write a letter to the party they wish to claim against. This letter must contain ‘concise details of the claim’, as outlined in Paragraph 6 of the Practice Direction – Pre-Action Conduct and Protocols.
A compliant letter before action should include (amongst other things):
- Summary of the facts giving rise to the claim;
- What the claimant wants from you (the defendant); and
- If money is being claimed, a clear calculation showing how the amount has been calculated.
The letter will likely request your response within a certain timeframe. Ultimately, this will be a request made from your opponent and will reflect how long they consider you will need. However, Paragraph 6 of the Practice Direction- Pre-Action Conduct and Protocols confirms that the defending party should respond within a reasonable time.
What is ‘reasonable time’?
The timeframe for your response depends on the type of claim you are facing. The Practice Direction provides some helpful guidance.
If the claim is ‘straightforward’ you have 14 days to respond.
If the claim is ‘very complex’ you have 3 months to respond.
Your response letter should be prepared and sent within this range of time.
The Importance of Communication
We recommend being transparent with the potential claimant about what you consider reasonable in your specific circumstances and seek to agree a deadline for your response before that deadline passes.
If you do not communicate, there is a risk the claimant may misinterpret your silence for avoidance and issue proceedings against you prematurely. This removes the opportunity to resolve the dispute before involving the courts and could mean an increased liability for the claimant’s costs.
Keeping open communication channels is key, where this is possible.
Protection Against Premature Court Action
If you have communicated with the claimant, given them notice that you are preparing a response, and provided them with a timeframe for your response (that is reasonable) and they issue proceedings without good reason before your stated deadline, there may be cost sanctions imposed on the claimant by the court.
What Should Your Response Include?
Lastly, it’s important to understand what your response letter should include. As set out at Paragraph 6(b) of the Practice Direction, you should confirm:
- Whether you accept the claim;
- If you do not, the reasons for disputing it and which facts you contest; and
- Whether you intend to bring a counterclaim, with details of that counterclaim.
Need Assistance?
If you have received a Letter Before Action and you require advice, please contact our Litigation Team today on +44 (0)207 632 4300 or via our online enquiry form. We’re happy to speak with you confidentially and without obligation.