cowboy builder & court procedures

[human123]

I contracted a builder to build a conservatory and a new kitchen. His workers started the work but didnt finish it, he broke the contract many times and then left our home looking like a building site with walls broken down, a hole in the wall where the double doors should have gone,.... We have jumped through all the hoops suggested by the Ombudsman and trading standards, have given him plenty of opportunities to agree on a compromise but he continues to refuse. We have now submitted a claim to the small claims court. I think we will win but he wont pay anything. Is there a way to find out whether he has been taken to the CCJ before and not paid up? I understand that it is possible to find that out. My other question: If we want to take it to the next level and go to the High Court, do we need a solicitor? I am asking because we couldnt afford an expensive solicitor but would be keen that the court sends a bailiff to him. We dont know if he owns the house he lives in or if he has other property. The company is in his girlfriends name and I learnt now that he has gone bankrupt at least twice before. We are now waiting to hear back from the court by beginning of September. I would like to know what options I ahve to take this further as he has cheated us out of all of our life savings and our house is in a terrible state. thank you for your advice,

[ostell]

If you win at court then taking it to HCEO costs about £80

[jaguarsuk]

If you win at court then taking it to HCEO costs about £80

£66 to transfer up and £75 compliance fee if they are unable to enforce.

[human123]

£66 to transfer up and £75 compliance fee if they are unable to enforce.

What exactly is the £75 compliance fee for? What is its purpose and function and what action will it make possible?

[jaguarsuk]

£66 to transfer up and £75 compliance fee if they are unable to enforce.

What exactly is the £75 compliance fee for? What is its purpose and function and what action will it make possible?

The compliance fee would be charged by the HCEO to you if they are unable to enforce the judgement, it's purpose is to cover a small portion of their costs attempting to enforce and it's function is to encourage claimants to provide as much information as possible to ensure the best chance of successful enforcement.

[human123]

Thank you.
What could be the reasons why they couldnt enforce a judgement? Couldnt they send out bailiffs?

[jaguarsuk]

Thank you.
What could be the reasons why they couldnt enforce a judgement? Couldnt they send out bailiffs?

There are a lot of reasons, it's probably best for you to answer some questions:

Is the defendant an individual/sole trader or Ltd company?

Do you know if they have any assets to enforce against as leverage? (car or valuable machinery)

[human123]

The defendant makes all the decisions and presents himself as the sole decision maker, signed the contract and makes all decisions, even asking us never to include his girl friend in emails. She is registered as the sole director with company house and was present when we signed contracts but was quiet and didnt say anything. He insists that it is his company. I have since learnt that he has gone bankrupt a few times and uses family members names to start new companies. Would he be a shadow director? The company is a limited company and he charged me VAT with every invoice. His accounts will be due in November 2019. He does have valuable machinery which he removed when he decided not to finish the work, saying he will bring it all back the next day which was a lie. He also has a car and an old van. His girlfriend has a house abroad. He may have other assets.

[jaguarsuk]

Okay, so it’s a Limited Company with Machinery (assets) to enforce against which is positive, but just to check is your judgement against the Limited Company?

Also, just to clarify with a Ltd company it doesn’t matter what the directors do or down own whether property, cars or whatever as they are not personally liable for the debts of company.

[human123]

our present claim in the small claims court is against the company to whom we paid the money for material they didnt deliver.
Depending on the outcome we need to plan next steps as he owes us a lot more than £10000. Therefore I am wondering how we can best go after him as an individual. What is the definition of a shadow director and what is the law when someone acts as shadow director?

[jaguarsuk]

Depending on the outcome we need to plan next steps as he owes us a lot more than £10000. Therefore I am wondering how we can best go after him as an individual. What is the definition of a shadow director and what is the law when someone acts as shadow director?

You can only claim against an entity who you have entered into a contract with, it doesn't matter if he was the one sat there while you signed it you still entered into contract with the company.

You can't go after him as an individual unless he has individually entered into some sort of agreement or contract with you.

[human123]

He signed the contract and did all the correspondence but is not even a director or member of the company as it turns out. Surely that isnt legal. What is the legal definition of a shadow director?

[human123]

I just found this link: https://www.begbies-traynorgroup.com...ency-procedure

[jaguarsuk]

He signed the contract and did all the correspondence but is not even a director or member of the company as it turns out. Surely that isnt legal. What is the legal definition of a shadow director?

If he is an employee of the company that is perfectly legitimate if the directors of the business have given him authority in his position to sign contracts on behalf of the company.

You are assuming he is acting as a shadow director when he could be an employee of the Ltd company.

[human123]

Interestingly his girlfriend has now been removed as director and there is no director now as far as I can see. However he does all negotiations, sign the contracts and makes all decisions. She never said anything. Why would he have avoided to be the named director and put his girlfriend there in name and now she is removed and the company is without director. Is that all legal?