Factors to consider when deciding to go to Court

The Contract

Typically there is an initial contract that the parties have entered into that forms the agreement between them and sets out the terms and conditions of the agreement. If the matter has the following features it will be able to be litigated more easily:

1. A clear written contract outlining all terms and conditions between you and the defendant as opposed to a verbal contract or amended contract;
2. Evidence of performance of the contract; and
3. No dispute about the goods or services.

Where the terms and conditions of the contract are not all noted in the same document, this can lead to arguments in Court about what terms and conditions govern the transaction or transactions that are in dispute.  

You will need to work with a lawyer to determine which terms and conditions applied when the dispute arose. The terms and conditions will assist in determining what the responsibilities and obligations were between the parties and therefore who has breached those responsibilities and obligations.

Payment Date

A key term of the contract is when payment is due. After this date the amount outstanding becomes a debt owed to you. In addition, interest will begin to accrue on the outstanding amount from the payment date.

Defendant’s response

You may wish to reconsider going to Court if you believe the potential Defendant may have a counterclaim against you. Before initiating your claim you should seek legal advice so that a lawyer can analyse the events that have occurred and advise you on the prospects of any possible counterclaim. Being aware of this prospect early can help you plan how to respond to any counterclaim that may come against you. 

Ideally, in all circumstances you should obtain legal advice on prospects and strategy before initiating Court proceedings to ensure that you are fully informed of all possible consequences.

If you have further questions, please contact us at frank@franklaw.com.au.

This is not legal advice.