CVA Tribunial

pawpurrs

Hi there,
We won an Employment tribunial against an ex employer who still owes us some of the amount awarded, they have just entered a CVA apparentley, we have a CCJ against them for non payment, what if anything should we be doing? What is the likelyhood of getting any of this money owed?
Are we now counted as unsecured creditors?
Thanks for any help.

Tixy

Hi

How have you found out about the CVA? Did the company write to you yet? or the insolvency practitioner? Have you received any proposal from them yet?
I would think the first key thing to do is ensure whoever is dealing with it knows about your claim on the company.

You should as a creditor get a chance to vote whether or not to accept the proposal. Do you know what other debts the company has? Or how yours might compare in percentages to their total debt?

pawpurrs

Thanks for the reply, we were contacted by the company dealing with the CVA, so they are fully aware of the debt.
I dont know how much debt they owe to others, but have been told our debt is small compared to others, however its a lot of money to us personally.
No Proposal as yet we are told this may take another six weeks, we will get a chance to vote.

Tixy

I would imagine (and I don't know) that the fact that you have a CCJ won't help at all. In an IVA any unsecured creditors including any with CCJs are all treated the same. So I expect it will be the same for you with the CVA.

I guess that they probably owe significant amounts to the bank and HMRC so they will probably count for the 75% they need to pass or reject the proposal. I guess if it goes ahead you will get a reduced percentage (so many pence in the pound) paid back and over a few years.

pawpurrs

Thanks Trixy, yes thats what I am thinking too, ho hum, anythings better than nowt!