Section 75 credit card protection buying goods from company in administration

Ella_fella

I understand that you can claim back the costs of over £100 for goods bought on a credit card if the trader subsequently  enters administration and you haven't received the items, but what protection do you get if you buy the same goods from a company currently in administration?

eskbanker

Companies can and do continue trading when in administration, but if you don't get what you paid for then you have the option of s75 or a 'goods not received' chargeback instead, which can be just as effective.

Ella_fella

eskbanker said:

Companies can and do continue trading when in administration, but if you don't get what you paid for then you have the option of s75 or a 'goods not received' chargeback instead, which can be just as effective.

So to confirm you will get the same level of protection with buying goods from a firm currently in administration as one who subsequently enters administration after you've paid for the goods?

eskbanker

Yes, administration in itself doesn't change s75 (or chargeback) protection, but obviously choosing to buy from a supplier in administration would seem an unnecessary risk if other options are available.  Are you just asking out of general curiosity or do you have a specific example in mind?

Ella_fella

eskbanker said:

Yes, administration in itself doesn't change s75 (or chargeback) protection, but obviously choosing to buy from a supplier in administration would seem an unnecessary risk if other options are available.  Are you just asking out of general curiosity or do you have a specific example in mind?

Yes the football club I support has been in administration for a number of months now....if this situation doesn't alter soon can the administrators start to put on sale season tickets for next season in the expectation that there still will be a business at this point?

And the proceeds of these potential season tickets revenue could then go towards helping the club continue existing as a business until a point when it comes out of administration. 

born_again

Only thing to watch is the T/C. If they stipulated that if they were unable to save the club & all season tickets bought were non refundable or a donation to help save the club, then in effect there is no breech of contract or misrepresentation.

Still would have a chargeback option though.

eskbanker

Tricky one - it would be worth checking the small print of season ticket purchases to see what you're actually guaranteed to get, as this was quite a hot topic (certainly at my club) when fixtures were being played behind closed doors, as s75 only applies to a breach of contract.

Presumably many season ticket holders will want to know the situation before parting with their cash, so the club should clarify, but credit card providers would be reluctant to underwrite relatively predictable losses, so might, for example, withdraw card handling facilities from the club while in administration.

Grumpy_chap

If a football club is in administration, are they allowed to start a new season in the league?  Do the FA rules permit that?

If there is no league to play in, there is no season to sell tickets for.

born_again

Can the Op say which club this is?

Ella_fella

born_again said:

Can the Op say which club this is?

Derby County FC

born_again

Thanks.
Hard times for you. Best advice would be to hold off as long as you can. Till you know that one of the 3 buyers can take over.