Anyone help me on this ?

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A firm I have worked for for over 4 years went out of business two months ago,for the last five months it was ran by an administration company, I never recieved my last wage and expenses for the final week and the administrators say I am not owed anything which I find strange as I was always paid a week in arrears.

I have phoned them on numerous occasions and wrote a letter to them proving I am owed these amounts as I kept records since I started with the firm.

Any advice please.

[caro]

In the absence of any better advice, you could either try Citizens Advice, or some solicitors will do a free first consultation, and they might suggest how to proceed.

[Guest Lueeze]

If you have proof you are owed this, then give them a stern warning you will proceed to court in 14 days if you do not get your payment.Follow the type of templates on here, keep it short and simple. I suggest that you ARE entitled to this money, and they are dodging it because they have creditors ect trying to get their money back too!

 

Good Luck

 

Louise x

[breadline]

HIya

I had similar when I was working and the owner went bankrupt, i dont know if that is alot different, I was owed £1300 by the time i stopped work i never got any money atall.

what was more annoying was he knew he was going bankrupt and still kept us in work that last month.

 

but if the actuall owners of teh company are still running a buisness i dont see why you shouldnt be paid.

 

I know a few years back i got my first 30 minutes free with a solicitor not sure if tehy still do that, i would say time is of the essence..

 

Hope you get it sorted.

 

BL

[JonCris]

If you have proof you are owed this, then give them a stern warning you will proceed to court in 14 days if you do not get your payment.Follow the type of templates on here, keep it short and simple. I suggest that you ARE entitled to this money, and they are dodging it because they have creditors ect trying to get their money back too!

 

Good Luck

 

Louise x

 

I think you may find that former employees unlike the banks are NOT preferential creditors so will receive nothing if there aren't any funds over.

 

The rules about preferential creditors has I think recently changed but I don't think it changes the position for unpaid wages. Best check with the nearest CAB

[andrew1]

If a company is wound up it is either by creditors or the DTI - Department of Trade & Industry regarding insolvant companies. Invariably the company has no money, but in liquidation the liquidator / administrator will have a duty to pay the employees out of anything they recover or make them redundant. Phone the DTI and ask them the procedures for claiming your money as there is a scheme which will reimburse you.

[Eduin]

I think you may find that former employees unlike the banks are NOT preferential creditors so will receive nothing if there aren't any funds over.

 

The rules about preferential creditors has I think recently changed but I don't think it changes the position for unpaid wages. Best check with the nearest CAB

 

Just the opposite.

 

Employees *are* preferred creditors. I was fairly sure of this but checked it on the net hence :-

 

"However, your employees will be preferred creditors for up to four months' arrears of wages or salaries, holiday pay and any occupational pension contributions they are owed. This means they will be paid before other creditors." from http://www.enhancedwealth.co.uk/mortgages/insolvencyandbankruptcy.htm

 

The site also goes on to mention :-

"Employees are also entitled to be paid the amounts they are owed by the Redundancy Payments Service (RPS), which makes immediate payments to the employees up to set limits. "

 

I have no knowledge of this service but it appears to be worth investigating, it appears to be some sort of government organisation that recovers payments made from the Official Receiver / Administrator.

 

Regards,

Eduin

[JonCris]

Current redundancy pay is calculated as follows:

 

Half a week's pay for each year of employment between ages 18 to 21

One week's pay for each year of employment between ages 22 to 40

One and a half week's pay for each year of employment between ages 41 or over but under 65.

 

If the date of termination of employment (or the date when your notice period expires) falls between your 64th and 65th birthday, payment is reduced by one twelfth for each month of completed service over 64

 

There is a statutory maximum limit to a week's pay. This is set annually and is currently £280 per week. A week's pay is the amount payable for normal working under the contract of employment in force at the time of calculation.

[andrew1]

Redundancy Payments service is the outfit I was referring to. They are part of DTI.

[RETURNED TO SENDER]

Thanks all !!! I have just used moneyclaim today against them, I will let you know what happens.

[pmhread]

I was made redundant in September being owed over £4000. Think I got about £670 of that from the Government (it wasn't an immediate payment by any means). The company that went bust are still yet to pay me a bean of what they owe and it's still in the hands of the insolvency company. Luckily, a laser printer and various other bits of IT equipment found their way into the boot of my car (hehehe.....erm not a recommended course of action I must add!!!)

 

Unless legislation has changed recently, the employees are most certainly not preferred creditors... in fact we are right at the back of a long line of people which includes the VAT man and the insolvency company (after which there's not much left to spread around anyway!)

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Got anymore back PM ?

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My case has been transferred to near where the defendants office is based due to the fact that on my original claim I did not put "Ltd" after their company name.

Leeds county court say I can apply with form N244 to have the case put back into Cardiff court if I pay £35 to the court, The case is for under £500.

Is it guaranteed to go back to Cardiff court if I pay the fee or can the Leeds court still refuse to send it back and if they did that would they refund my £35 ?

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The administration company I am suing no longer exists as it has been taken over in a 1.8 million deal, does that mean I am now suing the company who aquired them as they were taken over whilst my claim was ongoing ????

[buzby]

Depends if they took over the responsibilities and debt, or whether they simply asset-stripped. You'd need formal advice from a professsional or Trading Standards.

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How would trading standards be able to help okonski ?

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The acquisition of the company is of "the entire equity interests of the founding partners " ( who I am suing as a company ) their staff and entire client base.

[buzby]

Only as a cheaper way of accessing properly a formulated legal response to whatever is actually the current state of affairs. As you found out, the lack of 'Ltd' (in itself a legal entity) can make your action fall apart. You need to ascertain what has happened at your company, and what the outcome was of any sale. The Registrar of Companies doesn't tell the whole story, so getting the information salient to your action will take some digging.

[buzby]

The acquisition of the company is of "the entire equity interests of the founding partners " ( who I am suing as a company ) their staff and entire client base.

 

That IS good news, however there are two sides to this equity AND debt. If they don't accept the latter, they could easily reject any claim - however it would be cheaper to speculatively continue with your SC action under the revised Limited name, and let the Judge decide!

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Cheers i will keep you posted.

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Well I caught the train at Cardiff station at 5am to get to Leeds for the hearing at 11.30 and the defendants did not turn up so judgement was entered which means I won sort of, how do I persue my money ?

[buzby]

No sort of about it (unless they appeal within the relevant period). Wait until you get the letter from the court that Judjement and expenses has been awared to you. You then write to the Defendants with a copy of the Judgement and requesting payment of the full amount including expenses. Give them 14 days to respond, and if there is no action you can instruct Bailiffs.

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Thanks Buzby, the company I sued was taken over so the judge changed the name from the company to the individual partners names, so if they are with the new company I might be able to trace them but as they sold it for 1.8 million they could be in the Bahamas !

[buzby]

I'll help you finf them if you like As to what the Judge did, I'm a little concerend as any judgement could be more easily challenged due to the unothodox way the claim was modified. Still, if they don;t appear, you can pay the £30 and get the Bailiffs to run riot - so hopefully the offices are unlocked during the day...

[RETURNED TO SENDER]

Cheers I will let you know what happens.