Employer Claiming for money on contract they never paid for.

spacey2012

Do some googling about "contractual penalties" and case law surrounding them.

The law as it is written states any contract can only recover what they have either spent or lost or it becomes a "penalty clause" .

Send something like this:

To (ex-employer) Your letter demanding payment has been received, unfortunately I believe the charge you are claiming is a contractual penalty which is unenforceable in law as per case law Dunlop Pneumatic Tyre Company v New Garage & Motor co [1915] AC 79.
I would advise you to seek correct legal advice upon the position as I am of the opinion the charge is a contractual penalty .

prowla

joekinerman wrote: »

It says on the contract "the cost of the training course"

From what you're saying, the course cost them nothing, and so they should be most welcome to that back.

jobbingmusician

spacey2012 wrote: »

Do some googling about "contractual penalties" and case law surrounding them.

The law as it is written states any contract can only recover what they have either spent or lost or it becomes a "penalty clause" .

Send something like this:

To (ex-employer) Your letter demanding payment has been received, unfortunately I believe the charge you are claiming is a contractual penalty which is unenforceable in law as per case law Dunlop Pneumatic Tyre Company v New Garage & Motor co [1915] AC 79.
I would advise you to seek correct legal advice upon the position as I am of the opinion the charge is a contractual penalty .

This is a good idea, but I would phrase the letter rather differently.

Thank you for your letter demanding payment for the course [insert title of course here] now that I am leaving the company. I am aware that I signed the document dates [insert date] agreeing to repay the costs of this course to the company if I left. However, I would remind you that I WON this course [insert any relevant details, copy of email telling you you won, maybe?], so there were actually no costs to the company for this course. I have been advised that, since the company did not pay for the course, any demand for repayment might constitute something called a 'contractual penalty', which is unenforceable in law, and would appreciate your comments on this.

spacey2012

Personally I fel when someone is trying to rob you of money, you are better keeping any letter blunt, authoritative, quote any relevant law for reference and be dismissive.

They started it.

joekinerman

The problem I have is they've now sent me a CCJ to reply to.

jobbingmusician

You mean it's already been to court and judgement has been passed? Sounds as if you haven't any alternative, in that case.....

Did they notify you they were going to court?

joekinerman

No it's not been to court, I've got to respond with my defence

spacey2012

What exactly have they sent you, ?
A CCJ claim form ?
describe this in detail and where and who has sent it.

joekinerman

My previous employer have sent it through there solicitor, it claims they want the £2000 plus court costs for the training. I need to reply with my defence by the end of the week as to why they are in the wrong

spacey2012

Where has it come from ? The solicitor can not send you anything, it will come from either your local county court or from money claim on-line.

Can you put a picture of this form up on a photo sharing site and put a link up just take the www. bit off and post the link in a post.