County court judgement

[cplanet]

Good afternoon, all.

I have a predicament and I'm wondering if anybody can advise?

- In November 2023 I purchased some web hosting (to host a website) from a UK limited company £250 paid personally and remotely.
- After 10 days I realised the support was terrible, so I requested to cancel since I was within the 14 days cooling off period according to UK consumer rights.
- The web hosting company refused to provide a refund.
- The web hosting company then cancelled my service (disgruntled), but kept my money!
- I contacted them to mediate, but they were unresponsive.
- I had no option but to create a small claim via the courts.
- They were again unresponsive to the courts (I assume their "address" is just a virtual office address), but a county court judgement was issued on 10th April 2024. This is where I currently am in the process.

The court indicate that my options are:

- Send bailiffs to collect payment
- Find out what the debtor can afford to pay
- Get money deducted from wages
- Freeze assets for money in an account
- Charge the debtor’s land or property

The predicament is that:

- Even though the web hosting company's Terms and Conditions indicate they operate as a UK limited company, I suspect they are just a team offshore who rent or lease (don't own) hardware in the UK to host websites. Hence I don't believe they actually own any assets in the UK. In that sense, the bailiffs would have nothing to seize!?

- The only option (i think) that might work is freezing assets for money in an account. However, I'm not convinced they even have a UK company bank account. But I do have the company owners personal bank account details!! So my question is:

Even though I have raised a court judgement against the UK limited company, can I try and recoup the money from the owners PERSONAL bank account via "Freeze assets for money in an account" enforcement? Or is this deemed a separate entity?

I'm at a loss with how to proceed really. I know the next steps will cost more money, so I wanted to see if it was feasible really. I'm pursuing this refund more out of principle than out of value.

Thanks for any advice!

[atticus]

No. You can only enforce against the company against whom you have obtained judgement. That is the company, not its shareholders, directors or any other legal entity.

[cplanet]

Thanks for the response, and sorry for the delay. I suspected you'd say that.

Considering the UK Limited company is probably a facade (doesn't have a UK business bank or own any hardware), how would you advise I proceed?

I'm suspecting the court process is a waste of time in the unregulated world of web hosting. I wonder if there's a trading body I can report them to, to get them shut down?

[JK2054]

no you can't they will stay around just part of life really.
I'd send in baliffs to their remote office address anyway because for the sake of £80 I have a feeling that DCBL may come out with something because the company will need invoices for everything to avoid collection, and I doubt they'd have this.

[cplanet]

I'm not convinced they will tbh. The address is probably used by 1000's of other companies. It's this address: https://www.1stformations.co.uk/regi...Jx-sFGzmBdu6Wt

Fraudster companies like this must be getting away with £1000s every year if they can't be held accountable.

[JK2054]

whats the office address

[cplanet]

It's:

71–75 Shelton Street
Covent Garden
London
WC2H 9JQ

[JK2054]

Yea its a difficult one actually because the amount is only £250.00 This means you cant use HCEO and can only use CC baliffs. Frankly they are about as effective as letters. They don't really put in much effort and won't do anything that requires time/care - although this is the fault of the system more, because they are expected to turn around unrealistic amounts of warrants in given time periods, which means many sit there for months before they get actioned.

However, if you paid by credit/debit card you can use a chargeback
If you paid by bank transfer you can try a TPDO but this may not work if they're overseas.
You should also file a report to companies house and incldue your CCJ - there's a small chance they'll write to debtor company and say unles they pay they'll be struck off - but you have to be really lucky to get CH to do this, they rarely do.

[cplanet]

Yeah it's frustrating tbh. They're actually a reputable-looking company with a professional web presence. So they must be making a few quid.

I did pay by credit card. BUT....and importantly....via PayPal. So when I approached Amex for a Section 75, they said their relationship was with PayPal and not the supplier. Hence rejected my appeal! Snakes.

Even filing a report with companies house....they'd just set up a new company for a tenner and "trade" through that.

It's a huge loophole being able to operate in the UK without paying UK taxes etc and banking with a UK business bank. There must be a route to get them investigated and/or closed down?

Thanks for your advice.

[JK2054]

Amex should refund you
get onto amex

[cplanet]

Nope. They use the loophole that because you paid using your credit card, but VIA PAYPAL (or any other gateway like Stripe), their direct relationship is with PayPal and not the supplier (web host). Therefore they can't pursue the supplier!

I suspect that's why eBay no longer accept credit cards directly too, unless you use it via PayPal.

[Huxie]

Did you try raising a PayPal dispute?

[JK2054]

Nope. They use the loophole that because you paid using your credit card, but VIA PAYPAL (or any other gateway like Stripe), their direct relationship is with PayPal and not the supplier (web host). Therefore they can't pursue the supplier!

I suspect that's why eBay no longer accept credit cards directly too, unless you use it via PayPal.

thats just not true though, thats what they fob you off with but it doesnt matter, its s75 they are liable

[PallasAthena]

Consensus of advice from online money advice sites seems to be that what you have been told is correct. If you use your credit card via a third party and not a direct payment to supplier you do not have s75 rights.

Is Paypal safe to use on a credit card? - MoneySavingExpert

https://www.moneyhelper.org.uk/en/ev...u-pay-by-card

Do you know your rights when using PayPal? - Good Housekeeping