Pay Up or Pay Interest - Payment of Incorrect Invoices

Morrison & Foerster LLP
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A recent decision by the UK Court of Appeal illustrates the dangers of refusing to pay an invoice, even if the invoice is incorrect. If a customer refuses to pay an incorrect invoice, it may be liable for statutory interest on the unpaid fees. A better approach is for the customer to pay the minimum amount that it believes is due and then raise a legitimate dispute in relation to the remainder.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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