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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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company liquidation law

Resolved Question:

company liquidation law
Submitted: 2 years ago.
Category: Law
Expert:  Ash replied 2 years ago.
Alex Watts :

Hello my name is ***** ***** I will and try and help with this.

Alex Watts :

What would you like to know please?

Customer:

Hi Alex,

Alex Watts :

Hello

Customer:

Hi Alex, ihad a property company that went into liquidation last September a buyer was going to buy an industrial property for 550k before liquidation he paid a substantial deposit which was verbally agreed he is now insisting for his deposit back i did not inform liquidator of this deposit even though it was paid into company account and the only creditor was Revenue & Customs and there is no assets or cash in the company where does this leave and it was a limited company.

Alex Watts :

Did you offer any form of personal guarantee?

Customer:

he paid deposit 15 months before liquidation and pulled out of the sale

Alex Watts :

Ok - did you offer a PG?

Customer:

no personal guarantee

Alex Watts :

And it was handed to the company and not you?

Customer:

yes all to the company payments by cheque to the company over a 8 month period

Alex Watts :

Ok - so why didnt you declare it to the Administrator?

Alex Watts :

Didnt the Administrator want to know what the payment was for?

Customer:

i didnt think he had a case as it was verbally agreed and a hand shake on it being a non refundable deposit to be honest i suppose he thought they where rent payments in as there is a lot of daily transactions on statements

Alex Watts :

OK - well you need not worry.

Alex Watts :

If there was no PG and it was paid to the Company then he has lost it

Alex Watts :

He could have made a claim on the assets but I assume that the company didn't have any money

Alex Watts :

All he is, is a creditor -

Alex Watts :

That is it

Alex Watts :

You are not personally liable although should have declared the deposit

Alex Watts :

Can I clarify anything for you about this today please?

Customer:

by not declaring what will liquidator do?

Alex Watts :

Potentially you could be in for a hard time and possible personally liable. You should have declared it

Alex Watts :

Its not as if you didnt know about it

Alex Watts :

But the person can still become a creditor and lodge a claim

Customer:

Ok many thanks for your help Alex.

Alex Watts :

Great. Can I clarify anything else for you?

Customer:

No i fully understand and will go and see a solicitor and also inform the liquidator that the person solicitor will be in contact who paid deposit.

Alex Watts :

Great.

Alex Watts :

Can I help with anything else today?

Customer:

No thats fine Alex.x

Alex Watts :

Great. If I could invite you to rate my answer before you go today - the button should be at the bottom of the screen

Alex Watts :

If you need more help please click reply

Customer:

No problem service was excellent.

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