Bad debt. Worth pursuing?

S

Salvadore

Registered User
Messages
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As a favour to a friend, I took on a client who is a friend of his son (I’m an employment law consultant) without insisting on the normal advance retainer. The guy had a reasonably strong case and I was confident of a positive outcome at the WRC.

I sent him an invoice a couple of months ago in respect of some initial work. Time passed without payment and ge ultimately decided not to proceed with his claim. He has acknowledged that he owes me but has so far failed to pay.

The amount involved isn’t huge (about €450) but I’m annoyed with his behaviour and that he thinks this is acceptable. I’ve also had to pay the associated VAT.

Any advice on how to pursue? Is it worth getting a debt collection agency involved? Small amount but it’s the principle involved.
 
Salvadore said:
according to Revenue vat is payable from when the invoice issued rather than when it was paid.
Click to expand...
 
Salvadore said:
Correct me if I’m wrong but according to Revenue vat is payable from when the invoice issued rather than when it was paid.
Click to expand...

You are correct.
But if you process a credit note, it will effectively give you back the VAT.
You don't send the Credit Note to your client.
If he does actually pay it, then you put through a new invoice.
 
My understanding is that businesses can now use the small claims court so long as it is within the €2,000 (or so) - might be worth the process if you want to cause a lot of aggrevation.
 
I'm not sure that the Small Claims Court is of use/relevance here?

Small claims procedure

The small claims procedure provides an inexpensive, fast and easy way for consumers to resolve disputes without a solicitor. Find out how the procedure operates.
www.citizensinformation.ie
 
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