You Need to Set Aside a CCJ
A County Court Judgment (CCJ) entered against you by default can be set aside on application to the court. You must act promptly and either show the judgment was wrongly entered or that you have a real prospect of defending the claim.
Quick Answer
Apply to set aside using Form N244 with a witness statement. Under CPR r.13.2, the court must set aside a default judgment if it was irregularly entered (e.g. entered before the deadline expired). Under CPR r.13.3, it has discretion to set aside if you have a real prospect of successfully defending the claim or another good reason, and acted promptly. Pay the court fee or apply for remission.
Full Explanation
A default judgment under CPR Part 12 is entered when a defendant fails to respond to a claim form within the required period. It can also arise where a defendant files an acknowledgement but then fails to file a defence. Default judgments are entered by a court officer (not a judge) and do not involve any assessment of the merits of the claim.
CPR Part 13 governs applications to set aside default judgments. Rule 13.2 provides for mandatory set-aside โ the court must set aside the judgment if it was wrongly entered because: the defendant had satisfied the whole claim before judgment was entered; the defendant had admitted the claim and requested time to pay; the defendant had filed an acknowledgement or defence before judgment was entered; or the claimant had reached an agreement with the defendant.
Rule 13.3 provides for discretionary set-aside where: (a) the defendant has a real prospect of successfully defending the claim; or (b) there is some other good reason why the judgment should be set aside or varied or the defendant should be allowed to defend the claim. The court will also consider whether the application was made promptly. Post-Denton v TH White [2014] EWCA Civ 906 (which concerns relief from sanctions, but the principles are applied broadly), courts apply a three-stage test: seriousness of the default; reason for it; and all the circumstances.
The application is made on Form N244 with a supporting witness statement. The witness statement should explain: why the default judgment should not have been entered (e.g. the claim form was not received); the grounds of defence (even under r.13.3 discretion, a bare assertion is insufficient โ you need to show your defence has a real prospect of success); and why you acted promptly once you became aware of the judgment.
If the CCJ is set aside, the case reverts to its pre-judgment position and you will be directed to file a defence. The court may impose conditions on the set-aside (for example, that you pay a sum of money into court as security) โ particularly where there is a history of ignoring proceedings.
A CCJ registered at the Registry of Judgments, Orders and Fines affects your credit rating for 6 years unless satisfied within 1 month of judgment (in which case it is marked 'satisfied' and removed from the register if applied for).
Legal Basis
- ยงCPR rr.13.2โ13.3 โ mandatory and discretionary set-aside of default judgments
- ยงCPR Part 12 โ default judgment
- ยงDenton v TH White Ltd [2014] EWCA Civ 906 โ principles for relief from sanctions (applied by analogy)
- ยงCPR Part 23 โ application notices
What To Do
Act Promptly on Learning of the Judgment
As soon as you become aware of the CCJ, note the date and start preparing your application. Delay will seriously damage your prospects of obtaining a discretionary set-aside.
Gather Evidence for Your Witness Statement
Gather evidence that supports your grounds: if the claim form was not served at the correct address, produce evidence of where you actually lived; if you have a defence, set out the facts concisely; if the judgment was irregularly entered, identify the procedural defect.
File Form N244 with a Witness Statement
Complete Form N244 stating the order you are seeking (to set aside the default judgment under CPR r.13.2 or r.13.3) and the grounds. Attach a witness statement. File at the court that issued the judgment and pay the application fee (currently ยฃ119 for applications without a hearing; ยฃ303 for hearings).
Apply for Fee Remission if Needed
If you cannot afford the fee, apply for Help with Fees using Form EX160. You can apply online at GOV.UK before filing your N244.
Attend the Hearing
Attend the set-aside hearing. Present your evidence clearly. If you are successful, the court will set aside the judgment and give directions for the defence to be filed. If conditions are imposed (e.g. payment into court), comply with them promptly.
Important Deadlines
Important Warnings
Delay is the most common reason set-aside applications fail โ apply as soon as you learn of the judgment, even if you do not yet have all your evidence.
A real prospect of defence means more than a mere denial โ you must identify specific facts that, if proved, would constitute a defence to the claim. Vague assertions will not succeed.
Satisfying a CCJ (paying in full) within 1 month of judgment removes it from the public register โ if you owe the debt and can pay, this may be quicker than litigation.