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Small businesses “poor deal”

27 November 2013
Issue: 7587 / Categories: Legal News
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Research demostrates disatisfaction with judicial system

Small businesses feel they get a poorer deal from the judicial system than large companies, according to research by costs lawyers Kain Knight.

Of 70 business owners employing fewer than 50 staff and with an annual turnover of less than £5m, nine out of 10 thought they fared more badly than large companies who can afford higher legal costs.

Nearly two-thirds said the cost of hiring a solicitor, let alone paying damages, would deter them from taking legal action, and 60% said they were prepared to represent themselves in court.

Almost three-quarters did not know they would not recover any legal costs for a claim below £10,000, under the small claims limit. 

Matt Kain, director of Kain Knight, says: “Small business owners were also frustrated about the length of time it would take to get a case heard in court.  

“Most of the business owners we surveyed felt that waiting anything over six months for a court slot would be stressful and frustrating.  

“Since Lord Jackson’s reforms began in April, we are aware of the increasing time it is taking to bring cases to court, and that there is insufficient capacity in the legal system to truly serve justice.”

Issue: 7587 / Categories: Legal News
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