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Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3653
Experience:  Solicitors 2 years plus PQE
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I know someone who deals in recycling plastic and is owed several

Resolved Question:

I know someone who deals in recycling plastic and is owed several thousand pounds from the recycling company to whom he takes his plastic (his unpaid invoices start from 21 March). The company say they are going through a transition phase and the invoices should be paid in full within the next 2 weeks. If he does not receive this outstanding payment, what are his options i e taking the recycling company to court? Your advice please. I would welcome your advice as to what the law says about a company still trading without sufficient funds to meet their billing obligations? Many thanks.
Submitted: 3 years ago.
Category: Law
Expert:  Alex J. replied 3 years ago.
Hi

Thank you for your question and welcome.

My name is ***** ***** I will assist you.

Court action is an option however it can be expensive and time consuming and there is no guarantee you will get all your costs back. https://www.moneyclaim.gov.uk as this is a relatively straight forward claim for money and if you are owed less than £15k you can start the claim here.

As an alternative if the company does not dispute the invoices then a much cheaper alternative is to serve them with a statutory demand. This has a penal notice of 21 days which means that if they do not pay you will be entitled to petition for the winding up of the company. https://www.gov.uk/statutory-demands/overview

I would think carefully about what action you take as it could obviously sour by future relationship.

I look forward to hearing from you.

Kind regards

AJ
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Customer: replied 3 years ago.

Hi AJ


 


I will pass this info to the person concerned, he is a sole trader, the invoices are not disputed. I think the company is just keeping the money owed for as long as possible in their own bank account because they think the sole trader does not have the ability to pursue, so your advice as to the possible way forward is much appreciated. Let's hope they pay up!!

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