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Pursuing non payment

Pursuing non payment

Postby RJR » Wed Dec 06, 2017 6:52 pm

I brought a case against a company on 21st November and won judgement. Court orders are currently taking a long time to arrive but the presiding judge made it clear to the defendant that payment should be made within 14 days. The payment which amounts to a little over £4000 has not been received.

The defendant company was represented in court by the director I have issue with. It is a limited company with shares owned by husband(director), wife(secretary) and a third party director. The company operates from a business premises but husband and wife(director and secretary) have their private address in the company records.

What is my best option, bearing in mind a seriously delayed court order, to recover payment. Thank you.
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Re: Pursuing non payment

Postby atticus » Wed Dec 06, 2017 9:33 pm

Does the company own assets?
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Re: Pursuing non payment

Postby RJR » Wed Dec 06, 2017 11:49 pm

atticus wrote:Does the company own assets?


Good question - it is a double glazing company that as far as I know is solvent. the company supplies windows and conservatories, trade and domestic.
Companycheck.co.uk show assets of around £300k with liabilities of around £200k, £7k cash with a net worth of £37k. The company has two charges against it that appear to be for business loans taken out within the last year.

I took the company to court so really wondering if it is possible/preferable to pursue the director at his substantial home rather than the company itself. There appear to be two enforcement options - county court or high court. This started as an MCOL so I could pursue either of these options using their forms. Not clear as to what I can do without possession of the court order. Court system is very behind with paperwork at the moment - today they are working on court orders from 26th October cases.
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Re: Pursuing non payment

Postby Smouldering Stoat » Thu Dec 07, 2017 12:02 am

If your judgment is against the company, you can't enforce it against a Director.
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Re: Pursuing non payment

Postby atticus » Thu Dec 07, 2017 11:40 am

A judgment against a company is payable by that company. If unpaid, it may be enforced against assets of the company.

The shareholders of the company and the directors of the company are not persons whose assets may be taken in satisfaction of a judgment against the company. This applies just as much to someone who owns 100% of the company's shares.
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Re: Pursuing non payment

Postby RJR » Thu Dec 07, 2017 12:13 pm

Thank you for clarifying that point. I would doubt that company assets, with the possible exception of vehicles would be at the directors home address.

My uninformed instinct is to get an order for enforcement in the High Court by Writ of Control.

I would appreciate any opinion/guidance in this respect.
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Re: Pursuing non payment

Postby atticus » Thu Dec 07, 2017 12:41 pm

no better suggestion can be made without detailed knowledge of the company. Send the bailiffs in.
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Re: Pursuing non payment

Postby dls » Thu Dec 07, 2017 1:20 pm

You chose to sue the company (probably correctly). The word 'limited' is there exactly to warn you that you would have recourse only to the assets of the company, and not to those of directors or shareholders. There can be exceptions, but nothing you say suggests that those exceptions might apply.
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Re: Pursuing non payment

Postby 3.14 » Thu Dec 07, 2017 1:46 pm

Make a judgement as to assets that the company may have. I suggest you hire a suitable professional (a professional investigator) to get that information.
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Re: Pursuing non payment

Postby diy » Thu Dec 07, 2017 2:22 pm

Could the OP not expedite the claim to the high court and get a high court enforcement officer to forcibly seize goods?

Or have I been watching too many can't pay and we'll take it away episodes.
My suggestions are not legal advice
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