Ltd company - sued

[NOCAB]

Hi, can I have some advise please.
I have successfully sued a LTD company for failure to complete some building work. They failed to respond and I have been awarded a default judgement against them.The registered address for the business (companies house) is the directors home address as well. Does his home therefore become an asset that can be sold to pay for company debts if necessary?

[des8]

Only if the home is owned by the company

[NOCAB]

So what can I go after....?

[des8]

The company assets.
How do you intend to enforce the judgement if the company doesn't pay up?

[NOCAB]

I guess that’s my question*

[Celestine]

How much is the claim for? When did you get judgment? They have 30 days from default judgment to pay up or get a CCJ against the company. You could send bailiffs/HCEO's....

[NOCAB]

Amount £12k I got judgement at the beginning of March. I guess my point which seems to be being missed is concerning the house and it’s content. The house is the registered address for the business so can I assume a bailiff ( out of lock down ) will be able to cease content in the house if he refuses to pay. He has an old builders van but that’s worth nothing much and some tools so I am wondering if as the company is registered to the address what else a Baliff could cease. Also I was wondering how long after obtaining the judgement I need to act?

[des8]

Only the assets of the limited company may be seized, and it is most unlikely that this will include house or contents.
Just because a business is registered at a particular address it does not mean the business has any proprietorial interest in that address*
The assets may include tools, although even those might be owned by him privately.

[NOCAB]

But isn’t the burden of proof on him to show assets are privately owned ie showing receipts etc*

[Partypooper]

Amount £12k I got judgement at the beginning of March. I guess my point which seems to be being missed is concerning the house and it’s content. The house is the registered address for the business so can I assume a bailiff ( out of lock down ) will be able to cease content in the house if he refuses to pay. He has an old builders van but that’s worth nothing much and some tools so I am wondering if as the company is registered to the address what else a Baliff could cease. Also I was wondering how long after obtaining the judgement I need to act?

Hi Nocab

I don't wish to be the bearer of bad news here but this debt (on the face of it) looks exceptionally difficult to enforce. One of the purposes of a limited company is to limit the liabilities of its directors. The fact that the company is registered at the directors house does not help you much. You/bailiffs cannot seize anything that doesn't belong to the limited company. From what you have told us, it would seem that the company only own a few tools and* a worthless van.

My sense here is that the builder knows what he is doing which is why he didn't even bother with the court hearing. He will just carry on regardless until you force him to shut down (if you go that far). At that point, he will simply set up again with a new company.

In your shoes, I would most certainly give bailiffs a try. It will cost you a small fee to transfer the matter up to the High Court. After that, the bailiffs will work for nothing and will only be paid if they recover some or all of the debt. I say that, there is a fee of £90 payable on unsuccessful cases.

You have 6 years in which you can act but this could be from the point that the money became due rather than when the judgement was made so if you say 5 years, you will be well within your limits.*

I would find out as much as you can about the builder. It would be good to find out where he is currently working because there could be tools of value there that you weren't aware of.

Good luck with this. Low life like this builder need all that can be thrown at them. Glad to help moving forward if you wish to continue.










*

[Partypooper]

Only the assets of the limited company may be seized, and it is most unlikely that this will include house or contents.
Just because a business is registered at a particular address it does not mean the business has any proprietorial interest in that address
The assets may include tools, although even those might be owned by him privately.

It will be down to him to prove ownership on things like tools. Household items such as TVs etc would clearly not belong to the company. There may be an office within the house where computers, printers etc are situated. These could (and probably are) owned by the company.

The biggest problem is gaining entry. There is no right to force entry and a bailiff can only enter peacefully (ie with permission).

The garage at the property could be interesting. However, bear in mind items seized are sold at auctions for low prices. £12,000 worth is quite a lot of items.

*

[NOCAB]

What garage ?

[Partypooper]

Assuming there is a garage at the property, that is where the tools, equipment and other assets are likely to be.*

[NOCAB]

I would rather not guess on details like a garage thanks anyway. Looking for solid knowledge here

[Partypooper]

Well you were assuming things a couple of posts ago. I gave you the solid knowledge in my first post. A bailiff may only take items belonging to the debtor. The builder is not the debtor, his company is. There's some more solid knowledge for you. Good luck with finding company assets in the main house.