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Max Lowry
Max Lowry, Advocate
Category: Law
Satisfied Customers: 1457
Experience:  LLB, 10 years post qualification experience
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A company owes me money, £10,000 Totally separately I owe

Resolved Question:

A company owes me money, £10,000
Totally separately I owe another of their clients £8,000
They have told me they intend to pay their other client with the money they owe me?
I am presuming they cannot legally do this?
Submitted: 3 years ago.
Category: Law
Expert:  Max Lowry replied 3 years ago.
Hi, welcome to the site. My name is ***** ***** I will help you with your question. Could you please tell me whether the separate client has asked the company to recover the £8k from you? As far as you are aware is there any kind of contract which stipulates that any debt owed by you to the client can be offset against any money that is owed to you by the company?
Customer: replied 3 years ago.
Hi Max, as I understand it the other client has asked the company to give them money from the money they owe me.
There is definitely no contract in place to that effect.
Expert:  Max Lowry replied 3 years ago.
Thanks for clarifying this. It sounds as though the client has no right ask the separate company to pay the monies it owes you directly to the client. You will have your own contract with the client and a separate contract with the company. If the company does this you will have a claim against the company for the £10k it owes you. You should write to the company and tell it in no uncertain words that your contract with the client has nothing to do with the monies it owes you. If it does pay the £10k direct to the client then you will have no option but to immediately issue county court proceedings against it for recovery of the debt. Ask it to make payment to you within 14 days.
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