CCJ Claim From Restons/Cabot

[loki]

Hi all,

I have Received a CCJ claim form and have followed the advice and acknowledged the service request to give me 28 days for the defense.

In 2006, I was a director for a limited company but not the Owner/Managing Director. Thee company was doing well and required funding.
HSBC provided an overdraft facility and requested Personal Guarantees from the Managing Director and also myself.
I was told that it was a formality and that the PG would only apply if the principal refused to pay the debt. The principal being the MD.
I stupidly signed the PG without getting any legal advice as the MD was a relative.

However in 2007 the company ran in to difficulty and went into liquidation. The MD made an agreement with HSBC to pay off the debt in installments and has continued to pay the debt.
In 2014 the debt was sold to Cabot/Marlin and the MD continued to pay the installments. I have never had any contact with HSBC or Marlin. They sent letters now and again but I ignored them as the debt was being repaid.
Recently however the MD lost his job and he informed Marlin who refused the new payment offer.
They passed this to Restons who have requested a CCJ against the MD and myself

My Question is does this fall under the CCA?
Neither I or the MD ave any paperwork and I have not been sent any other paperwork from Reston other than a claim form.

I asked a solicitor and he said as the debt was already over 6 Years old I can ask for it to be Statute Barred, but the debt is not mine as it was the companies. So can i dispute it belongs to me
I acknowledged the service request today and CCJ calim form is dated Oct 24th.

The MD has acknowledged all of the debt and is going to ask the court to accept reduced payments as his wife is currently supporting him.

I am in full time work but also have debts of my own.

Your help and advice is greatly appreciated, thanks.

Kind Regards
Loki

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Good afternoon, welcome to LB,

When did the payments cease? Foe a debt to be statute barred the requirement is that there must have been no payments and written admission of liability in 6 clear years.

Each and every payment resets the Limitation " clock " back to zero.

I would be asking the bank for details of the OD agreement and any other documents re the OD.

Unfortunately you have signed a personal guarantee and you and the MD are jointly and severally liable for the debt.

Do you know how much the MD was paying?

nem

[loki]

Re: CCJ Claim From Restons/Cabot

Thanks for the prompt response.
Payments stopped about 6 months ago. He was paying £100 a month the original debt was 25k in 2007 and now stands at about 11k.
How can it be joint and several if they only chased him for the money in addition my Credit file is clean his unfortunately is not.
Plus no paperwork regarding the agreement or guarantees has been provided.
Surely to pursue me thy need to provide this?

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Thanks for the prompt response.
Payments stopped about 6 months ago. He was paying £100 a month the original debt was 25k in 2007 and now stands at about 11k.
How can it be joint and several if they only chased him for the money in addition my Credit file is clean his unfortunately is not.
Plus no paperwork regarding the agreement or guarantees has been provided.
Surely to pursue me thy need to provide this?

Cabot will not have much information on the debt just your name and address and the amount owed I suspect that they may not know of any guarantee.
Which is why I suggested trying to get information from the bank.

Has the MD been in contact with Cabot again?

Can you post a copy of the N1 claim form here please after removing name and addresses and the claim number. This will help to get full advice for you.

nem
The usual process is to chase the most senior person first and if they can't or wont pay the creditor chases the other guarantors.

[loki]

Re: CCJ Claim From Restons/Cabot

Yes, The MD spoke to them last week they told him to wait for the CCJ.
Please find attached claim form with particulars removed.

Kind Regards
Loki

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Yes, The MD spoke to them last week they told him to wait for the CCJ.
Please find attached claim form with particulars removed.

Kind Regards
Loki

I think it's worth sending Marlin a request for the contract mentioned in the POC treat this as credit agreement (CCA request) you need a £1 postal order mark it " for statutory fee only", use signed for post. There's a template for the CCA request in the green box above.

Send Restons a request made under the provisions of Civil Procedure Rule 31.14 for the documents mentioned in the particulars of the claim.
i.e. the contract and the notice of assignment template in the green box.

As the debt is over 10K it's likely to be allocated to the Fast Track court process which is more formal than the small claims track so Restons should comply with the CPR request.

nem

[loki]

Re: CCJ Claim From Restons/Cabot

Ok, So CCA request to go to Marlin. CPR 31.14 to go to Restons asking for the original contract and the notice of assignment.
If they can provide the notice of assignment and no contract do I still have a chance?
Thanks for the advice!
Would you believe a solicitor told me to claim its statute barred!

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Ok, So CCA request to go to Marlin. CPR 31.14 to go to Restons asking for the original contract and the notice of assignment.
If they can provide the notice of assignment and no contract do I still have a chance?
Thanks for the advice!
Would you believe a solicitor told me to claim its statute barred!

Hard to know what may or may not be provided, but all documents they intend to rely on in court will have to be disclosed at some point.
The court will send out directions after you file a defence, you must comply with these document and make sure everything is sent with in time limits.
As this is a relatively large sum you may want to seek qualified legal advice.

nem

[loki]

Re: CCJ Claim From Restons/Cabot

Hi nem, thanks for all the advice thus far.
I managed to speak to the MD over the weekend and discuss with him. Essentially he was the principal and the guarantor and I was informed that It was a formality and my guarantee would only be called if the MD ran away as I was a registered director.
I would never has signed if I did not trust the MD to pay if anything happened to the company. The company was wound up because it had no liquidity as the insurance company took over 6 months but had not decided to pay up, ergo company could not continue trade in good conscience. About 6 months later HSBC asked for the money back and made an agreement with the MD to repay in installments. He has made payments up until about 6 months ago when he was made redundant as the company he worked for closed down. I do believe I contacted hsbsc once and they never got back to me, eventually they handed the debt over to there DCA and I would get a letter once in a while then they sold the debt to Cabot. with whom I have had no communication except their demand letters of course. The MD is willing to go to court to assist as a witness for me.
I will send those letters out today, wish me luck.

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Hi nem, thanks for all the advice thus far.
I managed to speak to the MD over the weekend and discuss with him. Essentially he was the principal and the guarantor and I was informed that It was a formality and my guarantee would only be called if the MD ran away as I was a registered director.
I would never has signed if I did not trust the MD to pay if anything happened to the company. The company was wound up because it had no liquidity as the insurance company took over 6 months but had not decided to pay up, ergo company could not continue trade in good conscience. About 6 months later HSBC asked for the money back and made an agreement with the MD to repay in installments. He has made payments up until about 6 months ago when he was made redundant as the company he worked for closed down. I do believe I contacted hsbsc once and they never got back to me, eventually they handed the debt over to there DCA and I would get a letter once in a while then they sold the debt to Cabot. with whom I have had no communication except their demand letters of course. The MD is willing to go to court to assist as a witness for me.
I will send those letters out today, wish me luck.

Good morning Loki,
At least you have not been abandoned by the MD when support is needed.

Good luck and please let us know what happens!

nem

[loki]

Re: CCJ Claim From Restons/Cabot

Good Afternoon Mem, I am about to send out the letters.

However I have made minor alterations after reading some other posts.

Please let me know what you think, or should I stick to the original templates?
PMed to you as im a bit paranoid.

[nemesis45]

Re: CCJ Claim From Restons/Cabot

Good Afternoon Mem, I am about to send out the letters.

However I have made minor alterations after reading some other posts.

Please let me know what you think, or should I stick to the original templates?
PMed to you as im a bit paranoid.

Hello Loki,

The letters are fine, is there nothing else in the POC?

[loki]

Re: CCJ Claim From Restons/Cabot

I will pm you the poc. it just refers to the contract