Can someone help. I have a friend who was ripped off by two companies who she entered contracts with. She is going to take them both to court, but has already filed against one of them. Both companies have the same directors. The first company have asked to settled out of court and have offered the consent order below. She is happy with this as she is getting her money back for them failing to deliver what she paid for, but she is worried in the fact if she agrees to this she wont be able to take the other company to court too as they are the same directors. Can someone advise if this is the case, or whither she will still be able to persue the second company, with the same directors for the other claim. She did advise the court of the second problem in this claim, but it was not the basis of the claim, (if that makes sense. I have underlined the bit she is worried about. Would this apply only to this claim, or could she still bring the second claim against the second company which has the same directors as this claim. Also what does the case being compromised mean in legal terms
The consent order they have asked her to sign says
UPON the Claimant and the Defendants having agreed terms of settlement as contained in the Schedule appended hereto
AND BY CONSENT IT IS ORDERED THAT:
1.These proceedings be hereby stayed save for the purpose of carrying into effect and enforcing the terms set out in the Schedule hereto.
2.There shall be no Order as to Costs.
WHEREAS the parties have come to an agreement to settle the litigation between them and each of them in these proceedings under case number (withheld for privacy on this forum)(“the Case”)
NOW THEREFORE IT IS AGREED AS FOLLOWS
1.The contents of this Schedule constitute a binding agreement between the parties and each of them (“this Agreement”) in full and final settlement of the Case
2.The Defendants shall pay or cause to be paid to the Claimant the sum of £5,150 (five thousand one hundred and fifty pounds sterling) (“the Settlement Sum”) in cleared funds and without deduction or set off of any kind within 10 working days of the date of engrossment by the court of this Order. In the first instance the 1st, 2nd and 3rd Defendants shall jointly and severally be liable for the payment of the Settlement Sum to the Claimant.
3.In consideration thereof the Claimant agrees and acknowledges that:
1.The Case is hereby entirely and irrevocably compromised and she shall not be entitled to bring any further claim in relation to any issue raised in the Case against the parties or against the (the companies name withheld for privacy reasons on this forum) and any directors, servants, agents or any associated bodies;
2.[For the avoidance of doubt her application to increase the value of her claim is withdrawn.]
4.This Agreement shall be confidential between the parties save for such disclosure as may be required by law, to immediate family or to accounting or other professionals.
They have employed some big legal company to defend the case, who has drawn this up and have asked her to pay 50% of the court costs for filing this consent order in court.