unenforcable liquid damages????

[casbah]

Hi

 

I have got an horrendous problem, basically I took out what I thought was a hire purchase agreement to buy equipment to set up a small business.

Business failed and the financiars served default then terminated contract.

They took me to court for the full amount, I argued that the cost of equipment still had to be deducted. The equipment was returned to the supplier on the 30th april 07, they sold the machine on may 22nd 07. The financers took me to court in August 07, for 5k, this figure is the balance for the remaining rentals, solicitors fees and, I believe court costs.

I applied for it to come local, it did. The financers solicitors claim to have sent me documents, I never received, the judge adjourned for two weeks to allow them to send me copy. Because of the xmas period the next hearing was for 15 feb 08, the solicitors sent me info on 6 feb 08. It went infront of a different judge and to summary, they won and judge awarded costs to the value of 5709.00 at that point it was pointed out to me that they had a clause in the contract that states if I fall into arrears with the monthly payments, then they will charge me 2% per month. In may the financiers went for charging order against my property, I contested as I am only a 50% share holder and I have two dependant children, they got the charging order. Now at this hearing their solicitor said they did not want to enforce this judgment, just to have security, the Judge even said to me that they will now leave me alone until my home is sold............yea right..........ten days later I receive a letter wanting payments or they may go for resale, I know they are trying to scare me, but the monthly interest rate ( the 2%) is now at 144.00 I ahve just worked out that I owe them 8219.11 in just 7 short months. At this rate my house will be worth nothing within a year.

Now in amongst these charges are 2k solicitors fees and 450 court fees, can they charge me interest on these fees? I have read that the interest may be construed as "liquid damages"

 

Anyone seen this Volkswagen v Ramage United Kingdom, Company Law, Unenforceable Penalties - Hextalls LLP - 18/10/2007, Contract Law, Litigation and Arbitration, Arbitration & Dispute Resolution, Trials & Appeals and Compensation

 

Now before everyone suggest I see a solicitor I have, three! and each one of them says "Yes you have a case but I want my money in advance, 10 hours at 190.00+vat per hour" I ahve even tried my home insurance and thats looks ok but they guy I saw today wasn't interested.

My question is if I ask the court to setaside this judgement/charging order can someone help me with the wording.

I will send a payment to the financier just to give me more time, but as its now 11.45pm I don't want too many more sleepless nights

 

Casbah

[havinastella]

Fickin hell, sorry to hear of your problem.

 

I'd wait untill tomorrow and click on the red triangle and ask for this to be moved to the Legal forum.

 

Sorry I can't help more than that. Hope everything works out for you.

 

JOgs

[casbah]

Thanks for answering

Well sleep didn't come to me but I did have the opportunity to work a few things out.

 

I have worked out that I will have to work 59.5 hours a week for the next 200 weeks to pay this debt off. Also they are charging me 2%interest pm on the solicitors costs and the court costs.

 

So now I am confident of my figures I'm going to complain to the FSA, and hope they will kick butt!!!

Let the battle commence

 

Best wishes

Casbah

[Hopeful1]

Geez Casbah!!

 

As Jogs said, you may need to hit the red triangle which will bring the thread to the attention of the site team.

 

I hope you can find a way of fighting this and i will be interested to see how it goes.

 

Best wishes

[casbah]

Thans for your best wishes

I have asked for this to be moved so i'll let you know the thread.

They won't win, cos as I said sleep didn't come!!! but I worked out that I'll have to work 60hrs per week for the next 200 weeks to pay my bills and this debt, I'm hoping the FSA will act for me, if not I have legal cover on my household insurance and they have said they will look at it for me.

 

Casbah

[Hopeful1]

Thans for your best wishes

I have asked for this to be moved so i'll let you know the thread.

They won't win, cos as I said sleep didn't come!!! but I worked out that I'll have to work 60hrs per week for the next 200 weeks to pay my bills and this debt, I'm hoping the FSA will act for me, if not I have legal cover on my household insurance and they have said they will look at it for me.

 

Casbah

 

Don't worry, we are subscribed to the thread. I have also posted a link to it on the enforceable agreement thread.

 

That's good news about the insurance cover