Urgent Advice BAiliffs

[MJ1234]

Hi all

Thanks in Advance for listening my problem is as follows

I am a director of a limited Company which I foolishly registered at my Home Address. That company has now got problems and a judgement has been lodged agaionst it for 2,300 GBP and this judgement has been allocated to Marston Group. I am a Director of that company which is now NOT trading from the address but still registered there. I am in the unfortunate position ( for the first time in my life) unemployed and have three kids and are struggling big time.

Marstons attended at my house about 8 weeks ago and demanded access, access was refused and eventually I managed to get an initial payment together of £250 and paid that to them and arranged a payment schedule of £250 pe rmonth.

I was hoping money would come into the company to pay that amount But it hasnt and was unable to pay the next installment and I have now received a letter stating they are attending to remove goods tomorrow WEDNESDAY

I have just spoken to them on the phone asked for more time Begged and explained if they attend tomorrow is all it will do is add 4 - 500 to the debt and the debt will just get to the stage where it is not payable.

However they have just put the phone down on me and would not listen any further and said they are attending tomorrow to seize goods. There is genuineley no goods belonging to the Limited Company at that address and it is genuinely not trading either.

I am at a loss on how to deal with this and wondered if anyone could give me some adice.

In particular

Can they force entry

Can they seize goods

How should i deal with it before i have a heart attack!!

Thanks again for any help


Mark

[Happyolddog]

Re: Urgent Advice BAiliffs

[Quote]
In particular Can they force entry..........They can enter through a door or an open window if you open it...so don't.

Can they seize goods.........Yes, they can seize your car or other items accessable, so don't leave anything in view, lock it away.

How should i deal with it before i have a heart attack!!.......I am sure others with more experience will be along to give more advice.

Good Luck.
HOD

[natweststaffmember]

Re: Urgent Advice BAiliffs

Is the company insolvent?

[Guest]

Re: Urgent Advice BAiliffs

You need to provide more details.

However, in the meantime, print the following document and send it to Marstons, via fax if possible and with a hard copy in the post, via Recorded Delivery. You should also keep a copy with you and hand it to anyone who calls tomorrow, or at any other time. Do not allow them access to your home under any circumstances.

Dear Sir/Madam

TAKE NOTICE

That any visit to the above property post (add date of this letter) by yourselves, your agents, or those otherwise acting on your behalf or upon your instructions, stating either verbally or in writing an intention, unlawfully or by force, or guile (and other than by express invitation) to enter these premises and remove property, will result in the arrest of the agent/person concerned for attempted burglary. Steal shall mean any removal or attempted removal, or intention to remove, any property in which you have no lawful Title or Property therein.

I reserve the right to produce a copy of this Notice to the Court in future proceedings.

Yours faithfully

The additional information we require is concerning the actual debt and whether or not a Warrant of Execution has been obtained by the creditor.

You should also note that the bailiffs can only seize goods belonging to the debtor, so as the debtor is a limited company then only goods belonging to that company can be seized, not the personal goods of the individual directors.

If the company is no longer trading then you need to make your creditor aware of this fact as it is the creditor who instructs the bailiffs. You should also wind up the company as if you are trading while insolvent, you are committing an offence and the creditor can pursue you personally and you run the risk of disqualification from future involvement in the management of a business.

[MJ1234]

Re: Urgent Advice BAiliffs

Hi

Thanks for the above information and I will fax that letter tomorrow morning first thing I will also print it and hand it to the bailiff if he turns up in the morning.

In respect of the debt Yes there is a warrant of execution

The company is now insolvent but only recently and has NOT traded for about 3 months anyway. I have tried to rescue but to be honest there is no way I will now save.

In respect of the goods that they can seize there is certainly nothing at the house that belongs to the company at all. I do not plan on allowing them entry anyway but not sure where i stand with proving ther ownership of the goods is that there responsibility or mine. I doubt i have receipts for everything in the house.

I will also fax the creditor tomorrow and inform them it is insolvent. I do not have the money to wind the company up as I understand this this costs money and I do not have that money as I am now unemployed.

Thank you very much for your help in this matter.

Mark

[TUTTSI]

Re: Urgent Advice BAiliffs

Mj

I would fax it this evening, Bailiffs have a habit of turning up very early to catch you unaware and Marstons can be awkard squads.

Good Luck for tomorrow.

[MJ1234]

Re: Urgent Advice BAiliffs

Hi All

I thought I would update everyone re the results today!

Well what a difference in attitude from MArstons when I spoke to them.

I received a text message this morning from them saying they were on the way and could I phone urgently which I did. I hadn't ( because of my location faxed the letter yet). I spoke at length to them re the debt explaining it was a ltd company debt and that as soon as money came into the company I would arrange a payment and could they wait and that is all a visit would do today was to increase the debt to a level that it was unpayable anyway etc. Although they were polite the still insisted they would attend and they then stated that there advice was to take legal advice... I then stated that ok I didnt want to go there but I had taken legal advice which they asked what was it.. I read the letter out and there response...

1. They could still enforce the warrant to which i stated they would be refused entry, the Police would be called etc etc and I stated quite categorically that they only had the right anyway to remove property belonging to the limited company
2. AT this stage he agreed that was the case and that could I send a letter confirming that fact and I said yes of course I had which is what I have done together with the letter above.
3. I think this has now solved the problem although I havent heard back from them yet but there attitude certainly changed when i showed the contents of the letter

An interesting point which may or may not be helpfull to other people in similar situations was that I was always VERY POLITE BUT STRONG in respect of the legalities and I think this does help.

Anyway HOPEFULLY and I will update later as I will call them re it again in an hour to check wether they have received the fax ( I have sent RD as well now) the matter is sorted to date

May I thank everyone sincerely for an absolutely excellent service and for there time. It really is appreciated.

what a great service you offer

Well done

When I have some money... I will donate for sure

Thanks

Mark

[enaid]

Re: Urgent Advice BAiliffs

Thanks Mark for the update and am pleased you are getting this sorted.
You are so right too about being polite but firm and knowing the facts is also a bonus.
You know where to come now if you do need any more help with this or any other problem.
Enaid x

[Guest]

Re: Urgent Advice BAiliffs

1. They could still enforce the warrant to which i stated they would be refused entry, the Police would be called etc etc and I stated quite categorically that they only had the right anyway to remove property belonging to the limited company
2. AT this stage he agreed that was the case and that could I send a letter confirming that fact and I said yes of course I had which is what I have done together with the letter above.
3. I think this has now solved the problem although I havent heard back from them yet but there attitude certainly changed when i showed the contents of the letter

I find it a constant irritation that bailiffs regularly trot out the line that they will call the police should they be refused entry. The police have no more right to enter your property than the bailiffs and if they attend, their role is to prevent a breach of the peace, not to assist the bailiffs.

I would caution you however, that since you state "...it was a ltd company debt and that as soon as money came into the company I would arrange a payment..." you have confirmed that are planning on continuing to trade.

If you do this, you may be in breach of the wrongful trading legislation and if you continue to trade while insolvent you will face a serious risk of personal liability if the company ultimately goes into liquidation. You may also face disqualification as a director and for orders made against an unfit director of an insolvent company, there is a minimum period of 2 years and a maximum of 15 years. Directors must take 'every step' to minimise loss to creditors if there is no reasonable prospect of avoiding liquidation.

Although if there is a chance of liquidation being avoided and you believe that there is a 'reasonable' prospect of success you are able to continue trading even if the company is insolvent and the risk of personal liability never arises. Directors are culpable only if they fail to spot the problems coming and then fail to take the necessary steps available to them to protect creditors.

Simply put, you must not allow the company to continue to trade when it is unable to pay its debts as they fall due unless you know of a possibility of raising new cash, doing a deal with a creditor, or entering into a joint venture for example.