PR agency’s unpaid monthly retainer

The Client

Company providing PR services.

Value of Dispute

£50,000

The Commercial Dispute

The Claimant, a PR agency, provided various public relations type services for the Defendant, a company incorporated in a foreign jurisdiction.

For a period of 8 months, the PR agency provided the contracted services to the Defendant and raised invoices in accordance with the terms of the contract. They defaulted on several monthly payment requirements under the contract, and also payment for the notice period, which was detailed in the PR agency’s terms.

Escalate were subsequently engaged to pursue the outstanding debt as a result of the Defendant’s breach of contract.

How Escalate Resolved – Services Used

The Defendant had made it very clear throughout Escalate’s engagement that they would not be willing to settle the matter prior to trial, suggesting that they had the funds to fully defend the claim to its conclusion. Consequently, Escalate promptly commenced proceedings and saw the matter through to the final hearing.

The PR agency was awarded the full claim value, and in addition Escalate also recovered the costs incurred from the outset on an indemnity basis.

This was due to the Defendant’s unreasonable conduct throughout the proceedings, because they had refused to proactively engage in Alternative Dispute Resolution (ADR). In addition, Escalate made a Part 36 offer, which was then significantly beaten at trial.