Personal Guarantees..Etridge Guidelines......Directors........

Pril_the_babe

Hi Silver Car,It is not a loan, it is a default by the company, for factoring agreements. I was not advised on the indemnity . I personally have not paid anything towards it the courts have advised, the charge is a security until the debt is cleared by the other director.

Pril_the_babe

I had already left the company & took them to tribunal for the bad practices. Lloyds has sent 2 letters in 4 yrs threatening action, but not actually done anything to me, as I think they are aware of bad practice on their part too.That is why I think the guidelines apply to me.

silvercar

On what basis could Lloyds have secured that debt on your home?
Because you agreed for your home to used as security? because you were a director (if so was it a limited company)? Or were you an easy target because the other director had no property?

For your home to be security, I would have thought that either you signed an agreement or the company defaulted and Lloyds went to court and the court agreed for the charge to be placed on your property.

Pril_the_babe

When I gave personal guarantees, I had to sign a disclaimer from the bank that I had been advised that I should take independent legal advice (and chosen not to do so).[/quote]

My signature is only on an agreement & indemnity, that came from the other office for a second signature, the bank did not speak with me at all.

Pril_the_babe

Maybe the difference is the indemnity & its a factoring agreement, hence no figures initally, all based on what was invoiced, & payments collected.

Pril_the_babe

I was given a case, from the guidelines, to which my situation is quite similar, credit lyonaisse V burch, not sure if u are aware of this one.

silvercar

I don't know anything about factoring, sorry.

My signature is only on an agreement & indemnity, that came from the other office for a second signature, the bank did not speak with me at all.

I do wonder what you signed. Even if they didn't speak to you, if you signed that you knew you should take independant legal advice......

I think this splits into 2 halves. Did you know what you were signing, or could you reasonably be expected to know. The second part is whether you offered your home as security at any point or whether the loan is attached to it through courts without your knowledge.

On the surface the etridge case applies to someone whose assets are compromised when they personally are not involved in the business, in your case you were part of the business at the time the factoring agreements were written.

Any luck with a deed of postponement?

Pril_the_babe

Pril_the_babe wrote: »

......the risk of ineffective third party security also applies where directors of limited companies are required to give personal guarantees inrespect of the company’s liabilities. In this scenario, a director may be susceptible to undue influence from one or more of his fellow directors. Does anyone recognise this scenario?

Sorry not sure how get a quote box..........

Pril_the_babe

It worked lovely
I will explain........just trying to put into context, sorry a real thorn in my side.

Pril_the_babe

The Etridge guidelines are the same is in the quoted message above. As opposed to the the original case.The guidelines are for the banks to follow, including advising people of their rights,& making sure they seek independant advice.etcI had none of these, I was not aware that an indemnity was a personal guarantee..........I have always stayed well away from personal guarantees for any company I have worked forThere was no loan agreement, I would never offer my home as security, for a company I did not own & had no benefits to gain apart from a salary & performance bonus.It is a charging order for debts owed by the company of which I was one of the directors, as a result of bad practice by the other director, after I had left.