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Suing an agency undergoing restructuring owning me money under small claims ...
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MiiJaySung
Posts: 3 Newbie
Last year I was contracted to do some work for a client through a company my friend runs. Earlier this year the client wanted to consolidate their resources and hand over the project to another company.
I was going to be paid by the new agency for any work I continued to do (because this is software related, there needed to be an overlap period while I handed things over).
About 6 weeks ago I chased up the agency as my invoices where almost a month overdue. There was a lot of admin/bureaucracy is getting these sorted so I wasn't too fussed at the time about the late payment. Since that point though they've come up with various excuses regarding not being paid, and so last week I sent them a warning letter regarding small claims.
It so happens within hours of me sending this off the owner informed me of the mad news of the company planning to go under restructuring. I don't think the restructuring has started, so is it possible to squeeze this through small claims before this officially happens?
What does this mean for me. Will I still be able to g to small claims, or does restructuring prevent this under the 1986 Insolvency Act? If not can I do anything else? The money owed is short of two grand. What other options can I chase, CCJ? As a last resort I'm hoping they will under go a CVA process so at least most of the cash can be reclaimed, but would like to avoid this as it will be a cash flow annoyance to me.
While I'm not owed a huge amount, I also know some other creditors who are owed a lot more cash and therefore also would like to find out what options are there for their benefit too.
Many thanks!
I was going to be paid by the new agency for any work I continued to do (because this is software related, there needed to be an overlap period while I handed things over).
About 6 weeks ago I chased up the agency as my invoices where almost a month overdue. There was a lot of admin/bureaucracy is getting these sorted so I wasn't too fussed at the time about the late payment. Since that point though they've come up with various excuses regarding not being paid, and so last week I sent them a warning letter regarding small claims.
It so happens within hours of me sending this off the owner informed me of the mad news of the company planning to go under restructuring. I don't think the restructuring has started, so is it possible to squeeze this through small claims before this officially happens?
What does this mean for me. Will I still be able to g to small claims, or does restructuring prevent this under the 1986 Insolvency Act? If not can I do anything else? The money owed is short of two grand. What other options can I chase, CCJ? As a last resort I'm hoping they will under go a CVA process so at least most of the cash can be reclaimed, but would like to avoid this as it will be a cash flow annoyance to me.
While I'm not owed a huge amount, I also know some other creditors who are owed a lot more cash and therefore also would like to find out what options are there for their benefit too.
Many thanks!
0
Comments
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It depends what he is doing with the company, restructuring is not a legal term, you really need to know exactly what is going on with the companyHi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.0 -
It appear they will be going down the CVA route, which is getting managed by insolvency practitioners. What specific sort of info do you need to know.0
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