Sole trader to Ltd Co debts - strange one this

[palomino]

You need a solicitor. A very good one.

[mkb]

In the absence of any further comments, I will find a solicitor tomorrow who can help but needs to be under legal aid.

 

What does seem ludicrous is that:

 

a) the debt is only £300

b) we're now on income support

c) I need much more care with my disabilities so our situation will never

improve and

d) can't pay it in any case unless judge orders £1 per month

[postggj]

Ive Been Making Some Enquires On This

 

This Is The Crunch

 

Why Did The Cheque Bounce

 

When You Wrote The Cheque, Did You Know There Was Not The Funds In The Account To Cover The Cheque

[mkb]

Ive Been Making Some Enquires On This

 

This Is The Crunch

 

Why Did The Cheque Bounce

 

Lack of funds. Bank charges debited prior to cheque being bounced.

 

When You Wrote The Cheque, Did You Know There Was Not The Funds In The Account To Cover The Cheque

 

No idea there was insufficient funds when cheque issued.

 

 

 

Thanks for your help & hopefully you can now advise further

[postggj]

An Offence Can Only Be Applicable If You Knew Prior To The Issue Of The Cheque, There Would Not Be The Funds To Cover The Cheque.

 

If You Can Prove Just Prior To The Cheque Being Issued The Account Was Debited With Bank Charges, Thats By Statements, I Believe You Will Be In The Clear

 

The Law They Are Quoting Relies On Intent And Prior Knowledge, Ask Your Bank For Statements Around That Time

[mkb]

Postggj - have pm'd you

[gezwee]

Hi Mkb

 

Think Post is rightly referring to S.63 cancellation rights but......... things must be desperate if the sols are relying on Bills of exchange.

 

I've seen this before somewhere on another forum but as usual my grey cells fail me.

 

Will get back to you as soon as I can find what I was looking for

 

Gez

[mkb]

Cheers gez - all help gratefully received

[postggj]

Gezwee

 

Yep

 

Ime Trying To Run It Down

[gezwee]

Not exactly what i was looking for but have a read of post #4 onwards

 

http://www.consumeractiongroup.co.uk/forum/general-knowledge/170218-stopped-cheque.html

 

Probably not that helpful tbh but if the other subscribers on there will answer PM's it may be fruitful.

 

Best of luck

 

Gez

[postggj]

Give Me Till Tuesday On This

 

Getting Answers

[mkb]

Thanks for all your help

[mkb]

Gentle nudge

[mkb]

Postggj - did you manage to find out anything?

[patrickq1]

Hi Seminole

 

This is where it gets complicated!

 

LTSB decided to close our Ltd Co account so our accountant advised that there would be no problem in using the T/A account for payments & receipts so the cheque that bounced was a T/A cheque but the invoice is to the Ltd Co.

did the T/A have funds to clear the cheque if so it is libel

[mkb]

did the T/A have funds to clear the cheque if so it is libel

 

 

Tried to send you a PM but your box is full.

[patrickq1]

will clear my box now

[patrickq1]

box clear now

[mkb]

PM sent

[patrickq1]

yes it is a fact i was sending cheques written on the inside of fag packets and also firing them onto ceramic tiles 18" x 12" tiles they could nt enen pass them through the tellers glass ive posted a snippet of the bank libel on the forum the bank admitted it to the newspapers...here is a freind who took action some years ago.Decorated images :: 20-01-2010161933.jpg picture by patrickq1 - Photobucket

[Kraken1]

Email sent & this received in reply:

 

Thank you for your email.

 

I appreciate your comments; however, we are not pursuing the limited company for non-payment of its account but are rather suing in respect of the dishonoured cheque which was in your personal name (Mrs xxxx t/a xxxxxx) and not in the name of the limited company; accordingly, the liability for this payment remains with you personally. This is because, under the Bills of Exchange Act 1882, the law says that when you write a cheque to someone, you effectively promise that the cheque will definitely be honoured by your bank and if, for whatever reason, the bank does not honour the cheque, you imply that you will compensate that person in full.

 

I would strongly recommend that you seek legal advice to verify this if you are unsure; however, I can confirm that we will strongly contest any claim you make for our action to be struck out since this would be an abuse of procedure (especially since there is almost no defence to a dishonoured cheque). If it is of assistance, I would refer you to the information given under the following link http://www.insolvencyhelpline.co .uk/ltd-companies/bad_cheques.php which confirms the details I have provided above.

 

In the circumstances, I trust that you will now arrange for the amount due to be paid without further delay.

 

Yours sincerely

 

The bank is right, this is a simple contract thing. A cheque is a contract in its own right so they have an action against you for breach of contract. the initial invoice etc is all irrelevant.

[mkb]

Nice one

 

All the very best of luck in your own case - keep in touch about that

 

Kraken - thanks. All sorted now

[mkb]

UPDATE!

 

Got judgment for claimant

 

States that it is therfore ordered that you must pay the claimant £28.75 for debt (and interest to date of judgment) and £45.00 for costs.

You must pay the claimant the total of £73.75 forthwith. I have no idea what happened to the £300 they were actually claiming!

 

Result!!

 

I will pay this within 28 days then ask for the entry to be deleted from the register.

 

Thanks for all the help guys and gals

[Guest wino]

The £28.75 was there admin fee as on your original court document (post 1) not the amount they were actually claiming for. I think you might receive a revised judgement soon

[mkb]

O pants!!

 

Well if I do, I will have to apply for re-determination because I cannot lay my hands on that kind of money so they will have to wait quite a while for their money