Advice needed!!! Court Action

**DaveB** · 2 October 2009, 16:06

Originally posted by Amybear View Post

Hi,
Over a year ago a client approached us to do some design work for a new company consisting of 4 directors. The financial director was to head the project and issue payment.

Once the work had been completed an invoice was sent out and no payment received. A debt collection agency tried for us but no luck, we are no going to court.

I have found out however that this new company was never formed or registered at Companies House. We are currently trying to claim the money from the financial director personally as she requested the works - will this hold up in court??

We have no signed agreement only e-mails form her authorising the work.

Going grey over this and furious with this woman. She has several companies has an appalling financial history (I now know!!)

If you have emails from her asking you to do the work and can prove she knew you wanted payment for it or what the payment terms were you should be ok. Emails are acceptable as evidence in court.

**SueEllen** · 2 October 2009, 16:19

As above.

In English and Welsh courts a fax, email, letter or verbal agreement can form a contract.

If an email forms a contract then the parties need to be clearly identified on the email i.e. someone's initials aren't enough but someone's name is unless you also have other proof showing that a contract has been formed.

**centurian** · 2 October 2009, 17:06

Agreed with above. Sometimes a company will try and tell you that only an official Purchase Order represents a contract.

That's BS. A PO is certainly more solid, but even a 2 line e-mail can be construed as a contract if it contains the relevant words.

If you have a chain of e-mails going back and forth, you have them/her banged to rights.

**pmeswani** · 3 October 2009, 08:11

Originally posted by Amybear View Post

Hi,
Over a year ago a client approached us to do some design work for a new company consisting of 4 directors. The financial director was to head the project and issue payment.

Once the work had been completed an invoice was sent out and no payment received. A debt collection agency tried for us but no luck, we are no going to court.

I have found out however that this new company was never formed or registered at Companies House. We are currently trying to claim the money from the financial director personally as she requested the works - will this hold up in court??

We have no signed agreement only e-mails form her authorising the work.

Going grey over this and furious with this woman. She has several companies has an appalling financial history (I now know!!)

I wish you the best of luck in getting what is owed to you. However, my suggestion moving forward is to do a credit check against the company and the directors (if the company is small enough).

**Amybear** · 3 October 2009, 08:40

Thanks

That is such a relief!!!

We weren't sure if the e-mails would hold up but we have full details on all of them with name and address etc.

What we are doing though is seeking payment from her personally not through her business, as the company was never formed. She is or has been a director of numerous companies, orders work and then goes into liquidation.

Thanks to all of the above for saving my hair!

**Paddy** · 5 October 2009, 17:31

I will and have happily sued for my money however yours seems like a dead end case.

Did they use Ltd in their tile? If they just called themselves Name Company without Ltd then they were “trading as” in which case all the people involved are personally liable for debts.

If they used Ltd in their name and they were not Ltd then that is fraud.

**BolshieBastard** · 5 October 2009, 19:56

Im not certain the emails will be sufficient.

Recent judgements have said accepting roles by emails does not constitute acceptance of a contract.

Good luck!

**Emigre** · 6 October 2009, 12:29

Originally posted by Amybear View Post

That is such a relief!!!

We weren't sure if the e-mails would hold up but we have full details on all of them with name and address etc.

What we are doing though is seeking payment from her personally not through her business, as the company was never formed. She is or has been a director of numerous companies, orders work and then goes into liquidation.

Thanks to all of the above for saving my hair!

If this woman has such an easily accessible dodgy trading history you may want to enlist the help of Watchdog.

All the best. Please keep us updated on how you get on.

Advice needed!!! Court Action