Responding to a claim

This figure is a flowchart with labelled boxes linked by lines. The flowchart describes the steps you can take if someone claims you owe them money. Each box in the flowchart contains a hyperlink to further information. The action you take will depend on your responses to each step in the flowchart. The flowchart is described as a list of two steps. Where there are possible actions, these are listed beneath that step. 

Step 1.  You receive a letter of demand for payment of a debt [link to Responding to a letter of demand]. Possible action:

• You admit you owe the debt and pay it [link to Responding to a claim].
• You try to resolve your dispute through negotiation or mediation [link to Resolving your dispute]. Go to step 2.
• You ask for more information [link to Responding to a letter of demand]. Go to step 2.
• You deny you owe the debt [link to Responding to a letter of demand]. Go to step 2.
• You do nothing [link to Responding to a letter of demand]. Go to step 2.

Step 2. You try to resolve your dispute through negotiation or mediation [link to Resolving your dispute]. Possible action:

• ​You resolve the dispute and put it in writing [link to Put it in writing].
• If you are unable to resolve the dispute the other party may start a court case [link to Going to court].