Small court claim preparation - lay representative, late evidence filing

bobbstar21

We had the hearing today. The judge was very nice and guided us through it.

She confirmed with my aunt that I am her lay representative and confirmed that it is allowed in a small court claim. All further questions were directed at me. She asked some clarifying questions about the claim. The defendant did not turn up - they specified in their directions questionaire that this could go ahead without a hearing - the judge took this to mean that the hearing could go ahead in their absense. They also said they would submit evidence but did not so the judge had nothing to go on from their side apart from their defense.

The only time the judge mentioned the late evidence was during the judgement where she stated that although it was late, it was submitted more than 3 weeks before the hearing and accepts the evidence - she had no issues with it at all.

Ultimately she ruled in our favour.

bobbstar21

Well I need some further assistance.

I have seen that the company filed a gazette notice on the very day of the hearing, so they may be looking not to pay or possibly can't pay.

I contacted the court who said it could take up to 17 weeks for the judgement to arrive which is too long and the company will have closed by then. We don't have any other evidence that shows the company owe money so not sure what we can do with regards to stopping the closure.

I did a fake enquiry also and found the company is still operating as normal.

GDB2222

I’m afraid that it’s not very hopeful for you. It’s far too easy in this country for directors to start up a new company and effectively move the business into it. 

You don’t need the judgment in order to make a claim in the insolvency, but mostly unsecured creditors get nothing. 

bobbstar21

Can I do anything with the info that they filed the gazette notice on the day of the hearing and still seems to be operating?

GDB2222

If you want any more information you should post a link to the Gazette advertisement. 

user1977

Do they have any assets?

bobbstar21

GDB2222 said:

If you want any more information you should post a link to the Gazette advertisement. 

What do you mean sorry?

user1977 said:

Do they have any assets?

Not sure, didn't look like they have much.

I have just seen they have opened another very similarly named company, same director. A bit surprised they did they tbh

user1977

bobbstar21 said:

user1977 said:

Do they have any assets?

Not sure, didn't look like they have much.

In which case it's probably academic whether they formally wind up the company or not. But it should be something to consider before you bother even starting court action.

GDB2222

bobbstar21 said:

GDB2222 said:

If you want any more information you should post a link to the Gazette advertisement. 

What do you mean sorry?

user1977 said:

Do they have any assets?

Not sure, didn't look like they have much.

I have just seen they have opened another very similarly named company, same director. A bit surprised they did they tbh

You have answered the key question, namely that the company doesn’t have much in the way of assets. 

The directors have almost certainly run the old company down deliberately, as they can start up a new one to do exactly the same business without paying any of the old debts. Perhaps, your court case was the spur. 

You enquired about obtaining a copy of the court judgement, but really that’s worthless. So, unfortunately, the sensible thing for you to do now is nothing. 

I’m afraid that you have learned an important lesson the hard way. There’s usually no point suing a small limited company.

bobbstar21

I knew it was a possibility they could close down and restart but didn't think they would actually do it.

I personally have lost out on the fees but I knew it was at risk and wanted to go through the process for learning purposes as well.

But it seems to me, this being a phoenix operation, it is illegal no? Is it really this easy for them to do this without any legal consequences?

They did not file their last year accounts which is why I can't really tell what assets they have. The year before, 2023, they do have more than enough to cover the debt. 

I am surprised they can strike off the company without completing all the filing and surprised they can get away with the blatant avoidance of paying the debt.

From my side it is pretty easy to prove, especially that they are still trading (taking in new clients).