The next step after a letter of demand is usually to issue a summons, if the deadline passes without payment or a satisfactory reply. Before doing that, it is worth checking whether the matter can still be settled.
Options at this point
- Negotiate a settlement or a written payment plan (an acknowledgment of debt)
- Propose mediation, especially where the parties have a continuing relationship
- Issue summons in the correct court for the amount claimed
- For small amounts, an individual can use the Small Claims Court
Choosing the right court
Magistrates' district courts hear civil claims up to R200,000 and regional courts up to R400,000. Larger claims go to the High Court. The Small Claims Court hears claims up to R20,000 brought by individuals, without attorneys.
If the debtor still does not pay once judgment is granted, the final step is enforcement: attaching assets or salary through the sheriff and the court.
Need help with this? See Litigation & Dispute Resolution.
This answer is general information about South African law and does not create an attorney and client relationship. Please speak to the firm about your specific matter.