Settling a County Court Claim Before the Hearing and Accepting Part Admissions

A large proportion of county court money claims never reach a hearing. The defendant admits the claim, offers a settlement or agrees to pay in instalments — and the case ends without either side stepping into a courtroom. Understanding how settlement works, and what your options are when a defendant admits only part of the claim, can save months of waiting.

Settling before the hearing

You can settle a county court claim at any point — after filing, after the defence, even on the morning of the hearing. Settlement is simply an agreement between you and the defendant about how much will be paid and when.

How to record the settlement

If the defendant pays the full amount before the hearing date, notify the court and discontinue the claim. For a paper claim, file a notice of discontinuance (form N279); in OCMC, use the settlement or discontinuance option in the portal. You may also agree that the defendant pays your court fees as part of the settlement.

If you want the settlement to be enforceable as a court order — which is wise, because it means you can go straight to enforcement if the defendant breaks the deal — you can ask the court to record it as a Tomlin order or a consent order. A Tomlin order stays the claim on agreed terms scheduled to the order; if the defendant defaults, you can restore the claim without starting again.

Mediation settlements

For eligible defended small claims, Practice Direction 51ZE provides automatic referral to a free telephone session with the Small Claims Mediation Service (SCMS); road traffic accident and other personal injury claims are excluded. If mediation settles the claim, the proceedings are stayed unless the parties agree to discontinue or dismiss it. If you want the settlement terms incorporated into a court order, you must apply for that order.

Part admissions: what they mean

A defendant can respond to your claim by admitting part of it and disputing the rest. For example, if you claim £3,000 for an unpaid invoice, the defendant might admit they owe £2,000 but dispute the remaining £1,000.

Your three options

When the defendant files a part admission, you have a choice:

Accept the part admission in full settlement — you agree to take the admitted amount in full settlement of the claim. You may request judgment for the admitted sum. This ends the case quickly, but you give up the disputed balance.

Accept the amount but not the payment terms — the defendant might offer to pay £2,000 in monthly instalments of £100. If you accept the amount but not the instalment proposal, you can ask the court to set a different payment schedule. A court officer decides the rate based on the defendant's stated income and expenses.

Dispute the balance and continue the claim — you want the full £3,000 and are prepared to prove the remaining £1,000. You may request judgment for the admitted £2,000 and give written notice that the claim should continue for the balance; the court then gives directions for the outstanding issues.

Time limits

For a paper claim, reply to form N225A by the deadline on the notice, normally 14 days; if you do not respond, the proceedings are stayed rather than automatically closed. OCMC uses a separate online process: when asked how to respond to a part admission and part defence, the claimant has 33 days, after which the proceedings are stayed if there is no response.

When to accept a settlement

The decision is practical, not emotional. Consider:

• How strong is your evidence for the disputed balance? If the remaining £1,000 rests on a verbal agreement with no written record, a bird in the hand may be worth more.
• Can the defendant actually pay? Winning a judgment for the full amount is meaningless if the defendant is insolvent. A part admission with immediate payment may recover more than a full judgment you cannot enforce.
• How much is your time worth? Rejecting a part admission adds months of process — mediation, hearing preparation, the hearing itself and potentially enforcement.

There is no rule that says you must accept or reject. You can also negotiate directly with the defendant to split the difference before the court gets involved.

The County Court Money Claim Guide walks through every response scenario — full admission, part admission, defence and counterclaim — so you know exactly what to do at each decision point.

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