Liquidated company stole my "assets"!

Options
Please help if you can, I'm fairly despairing :(

Sorry, this is a very long post. I’ve tried to enliven things by referring to the two characters in my story as Lumpen and Jaws (both names suit them)

In 2016 I did some freelance design via a freelance job site. The buyer (Lumpen) paid my invoices regularly for a few months, then went silent. Stupidly, stupidly, stupidly I carried on work before discovering the company she worked for had gone bust, owing me £2250.

When I received the letters from the liquidators, I noticed that Lumpen was also on the list of creditors. She was an employee of the company and the only person I had dealings with - in fact I didn't even know which company she worked for. The company had one director (Jaws) who apparently lost lots of money etc etc (boo hoo)

4 months later, Lumpen emailed me via the freelance job site offering money for the one piece of work which I had not sent her. I took the money but, as she mentioned she was trying to "get things going again", I kept an eye on the internet and subsequently found that all the work I had done is now up online.

Jaws appears to have set up a new company using my work, for which I was not paid, which is being run by Lumpen. I understand that Lumpen had put a fair bit of effort into the work I did (she sourced and supplied content, I did the design) but how can she not see that I need to be paid if they are using my work?

I emailed the new company asking for payment and received a somewhat whiney email from Jaws himself (I had never had reason to speak to him previously):

I was forwarded your email from the website.

I was a unfortunately a large investor in [liquidated co] that also lost out when it was liquidated. However, following this I purchased some of the assets of [liquidated co] from the administrator including those relating to [new co] which you now see online and mention in your email.

Unfortunately therefore, these amounts are not due to be payable by [new co] to whom you have addressed them as the debt remains with [liquidated co].

However, I sympathise with your situation and hence if agreeable I will pay the amount outstanding personally over 10 monthly instalments.

I look forward to receiving your bank details.

Naturally I was overjoyed but needless to say no money has materialised. My questions now are:

1. Is it worth suing this chump via Small Claims? (I'm going to anyway, but it would be lovely to be able to prepare myself for disappointment)

2. Is anything he said in his email correct? He was not a "large investor", he owned the company. He "lost out" because he didn't run the business correctly - the debts came to £250K! How can he "purchase" assets if I don't get a penny? How can he run away from one company and use its assets in a new one?

3. Is it worth informing the liquidators about any of this? If they truly received money for my work, can't I get it?

4. Can I sue Lumpen, who calmly informed me she was planning to start everything up again, when she knew I was not paid for the work?

I'd ideally like to get both of them but Jaws would be the obvious choice IMO.

I'm seriously ready to go and live in a cave somewhere and eat berries and roots so please give me any advice you can (not on the berries and roots, I'm putting that plan on hold for now)

Thank you!!!!!!! :o

Comments

  • lincroft1710
    lincroft1710 Posts: 17,666 Forumite
    Photogenic Name Dropper First Anniversary First Post
    Options
    If you did work for Company X and invoiced Company X, you sue Company X for non payment.

    If you did work for Mr X and invoiced Mr X, you sue Mr X for non payment.

    If you did work for Company X and invoiced Company X, you cannot sue Mr X for non payment.

    You can only sue the entity with whom you had a contract or agreement
    If you are querying your Council Tax band would you please state whether you are in England, Scotland or Wales
  • PasturesNew
    PasturesNew Posts: 70,698 Forumite
    Name Dropper Photogenic First Anniversary First Post
    Options
    Ultimately you should own the Intellectual Property Rights to your work - and how/when and by whom it is used.

    What was in your contract? Did you transfer the ownership of copyright to them? To whom? If you did and it was to the liquidated company, then you would become a creditor to them - but the liquidators would have had the right to resell your work, to get cash to pay creditors.

    If you did not transfer your copyright, then you have a case.

    So who owns the copyright to the images? What is in the contract you signed with the original company?

    If you were paid to do the work, which then became their property completely (including copyright) then you'd have no claim of anybody subsequently using that work. But if you retained the copyright you have a claim.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.5K Banking & Borrowing
  • 250.2K Reduce Debt & Boost Income
  • 449.9K Spending & Discounts
  • 235.6K Work, Benefits & Business
  • 608.6K Mortgages, Homes & Bills
  • 173.2K Life & Family
  • 248.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards