The defendant should carefully consider whether to file an N244 application, as the £303 fee for applying to set aside the judgment is unlikely to be recoverable. The claimant has not acted unreasonably, and unless the defendant can demonstrate that their error (e.g., the incorrect claim number) was unavoidable due to something the claimant did, the court will not order the claimant to cover the fee.
Filing an N244 set aside application for the default judgment is worth considering if the defendant acts promptly and has a realistic prospect of defending the claim. Under CPR 13.3, the court has discretion to set aside a judgment, taking into account the overriding objective of dealing with cases justly, which includes ensuring parties can present their cases fully while avoiding unnecessary costs or delays.
The court will weigh the fairness of allowing the defendant to correct their mistake against the claimant’s right to finality. The error appears inadvertent, and refusing a set aside would unfairly deny the defendant the opportunity to present a potentially strong defence.
The defendant must weigh this cost against the amount of the CCJ (£289.32). Paying the full amount within one calendar month of the judgment (dated 13th January 2025) will result in the CCJ being completely expunged from the record, leaving no trace on credit files. This could be a cheaper and simpler option compared to applying for a set aside, which carries the risk of losing the £303 fee if unsuccessful.
While a set-aside may still be worthwhile if the defence has strong prospects, the cost-benefit analysis should be carefully considered.
Alternatively, the defendant could ask the claimant to consent to a set aside, which would be a cheaper alternative. If the claimant agrees, the court fee for a set aside with consent is only £119, significantly less than the £303 fee for a contested application. However, this route is likely to leave the claim standing, meaning the defendant will need to prepare a defence and potentially face further proceedings.
To pursue this option, the defendant should contact the claimant or their solicitor and request their agreement to set aside the default judgment. If the claimant agrees, ask them to draft a consent order for both parties to sign. This document will outline that both parties consent to setting aside the judgment.
This approach relies on the claimant's cooperation and does not guarantee the outcome of the claim itself. The defendant should weigh this option against paying the CCJ in full within one calendar month of the judgment to have it expunged from the record entirely.
