An unpaid final installment from company sale

Type: Breach of contract

Sector: Business services

Amount: £325,000

The problem

An entrepreneur sold their business services company, with the purchase price to be paid in stages. However, the final instalment of £250,000 was unexpectedly not received.

The entrepreneur approached the parent company for an explanation, and was advised there had been a breach of contract. They engaged a legal professional to explore the claim – spending £20,000 in legal fees in the process – but no progress was made.

How Escalate helped

The case followed the normal Escalate mediation process for the full three-month period before moving to the litigation stage. Aware that there was no legal merit to justify withholding payment, the defendant tried to delay the process (threatening to counter-claim, requesting to switch the case from a regional court to London, and asking for an extension of time) to frustrate the claimant and increase ongoing costs so they would drop their claim.

As the claimant bore no financial risk through the Escalate process, these attempts to dissuade them from pursuing their case had no impact – in fact, they served only to increase the defendant’s own costs.

The outcome

Escalate continued to push for a full settlement. We secured £325,000 for the client as the defendant was forced to concede once its costs became unsustainable. The total cost to the defendant – including its legal fees – in its pursuit to delay the claim amounted to around £450,000.


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Escalate Law Limited
Company No: 10381993