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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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Hi, I have a company that is in deadlock. At our legal meeting

Customer Question

Hi, I have a company that is in deadlock. At our legal meeting on the 6th October, it was proven that the other director had set up another company as had I and the company was agreed to be closed. Since then the other director is refusing to sign but is using the company name to redirect business to her new company. I do not wish another big legal bill but wonder if I could go through the small claims to stop this and law act do I need to read up on to file the claim. Many thanks Andrea Fletcher
Submitted: 2 years ago.
Category: Law
Expert:  Ash replied 2 years ago.
Alex Watts :

Hello my name is ***** ***** I will help you with this.

Alex Watts :

For now please let me know whether you have any form of Directors agreement?

JACUSTOMER-0498h7l7- :

Hi Alex, we had no articles listed, just 1 share each

Alex Watts :

You want an injunction I assume?

JACUSTOMER-0498h7l7- :

Yes I suppose that would be it but I would also like to ask, I have spent £9k on solicitors fees as she was trying to get the company from me but we found out that from Aug to Oct she was trading in her new company but still trying to take the company inquestion too. So it cost me a lot of money and she was proved to be lying

JACUSTOMER-0498h7l7- :

So sorry can I go via small claims to get this sorted?

Alex Watts :

Ok - you could seek an injunction the Director stops. This is because there is an implied term that a Director acts with good faith

JACUSTOMER-0498h7l7- :

So sorry can I go via small claims to get this sorted?

Alex Watts :

If they are competing or even re-directing business that is a clear violation of that term

Alex Watts :

Therefore on that basis alone you could seek an injunction

Alex Watts :

But it would NOT be a small claim. You can do it yourself, but if you lose you would be liable for costs of the other side

Alex Watts :

You could sue for breach of contact, ie the implied term and as long as any claim is £10,000 or less it would be a small claim

JACUSTOMER-0498h7l7- :

Ok so, in July, I asked if we could go our own seperate ways as we could not get on and she had been abusive to customers and my partner. I set up another company and was open about it,in the beginning of July but started from scratch. She set up a company 2 weeks later on the 14th July but maintained she was never using it and wanted Paws Pantry but was then found to be lying. So the company has no trade now but she is using the name to promote her new business so can I still do this

Alex Watts :

Can I clarify anything for you about this today please?

Alex Watts :

Indeed, so you could potentially sue

JACUSTOMER-0498h7l7- :

So let me understand this
I can put an injunction to stop her using the name Paws Pantry and I can do this myself

JACUSTOMER-0498h7l7- :

And I can also issue a claim in the small claims court for all the legal fees that I paid that I did not have to because she was lying

Alex Watts :

Yes and yes

JACUSTOMER-0498h7l7- :

So do I need a solicitor to issue an injunction or can I do that myself

Alex Watts :

You can do it yourself.

JACUSTOMER-0498h7l7- :

How do I do that myself?

Alex Watts :

You issue the claim the court lists it for hearing and you go along and represent the company

JACUSTOMER-0498h7l7- :

Do i download the claim form?

Alex Watts :

Yes.

Alex Watts :

Form N1

Alex Watts :

http://hmctsformfinder.justice.gov.uk/courtfinder/forms/n001-eng.pdf

Alex Watts :

And N16a

Alex Watts :

http://hmctsformfinder.justice.gov.uk/courtfinder/forms/n016a-eng.pdf

JACUSTOMER-0498h7l7- :

thank you Alex, is there anything in the small claims court application that I should state that would help me

Alex Watts :

Just breach of contract of the implied term of good faith

JACUSTOMER-0498h7l7- :

So the breach would be that she lied about continuing to work for the company

Alex Watts :

Yes

JACUSTOMER-0498h7l7- :

Ok thank you Alex, at court can I also ask for the domain name to be taken as she is using that too to promote her new business by way of links

Alex Watts :

Yes you can use that too if you wish

JACUSTOMER-0498h7l7- :

Can you think of anything else I need to state

Alex Watts :

No, that is it

JACUSTOMER-0498h7l7- :

Am I suing her as a person or as a director as we had to pay own legal fees

Alex Watts :

Individual yes

JACUSTOMER-0498h7l7- :

Thanks Alex, I really appreciate your help. I have screenshot all that I can to use as evidence

Alex Watts :

Yes you can use that too

JACUSTOMER-0498h7l7- :

Can I come back to you within a certain period to ask any questions or do i go back through again

Alex Watts :

Once you rate the question does not close, even though the site gives the impression that it does

Alex Watts :

can I clarify anything else for you about this today please?

JACUSTOMER-0498h7l7- :

Thats it thankyou

Alex Watts :

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

Alex Watts :

If you need more help please click reply

JACUSTOMER-0498h7l7- :

Hi Alex, are you able to help me complete the injunction form

Alex Watts :

Yes, but you will need to ask a new question for that one.

Alex Watts :

If you put it for my attention I can answer it for you

JACUSTOMER-0498h7l7- :

Do i have to pay again?

Alex Watts :

I am an expert so have no access to your account, so can't see what type of plan you are on sadly.

JACUSTOMER-0498h7l7- :

Not sure I just paid £47 that was it to speak to you

Alex Watts :

Ok - I am not sure either as I do not have access to your account. I can only see questions as they come in

Expert:  Ash replied 2 years ago.
Our chat has ended, but you can still continue to ask me questions here until you are satisfied with your answer. Come back to this page to view our conversation and any other new information.

What happens now?

If you haven’t already done so, please rate your answer above. Or, you can reply to me using the box below.
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience: Solicitor with 5+ years experience
Ash and other Law Specialists are ready to help you
Customer: replied 2 years ago.

Hi Alex I have just paid for you to help me fill in the form

Expert:  Ash replied 2 years ago.
Yes I just need more info to do that.
Customer: replied 2 years ago.

Company name is***** defendent name is*****

Expert:  Ash replied 2 years ago.
Ok - leave this with me overnight.
Customer: replied 2 years ago.

Sorry defendents name is***** am the claimant David john Fletcher. apologies :(

Expert:  Ash replied 2 years ago.
Claimant: Your name
Defendant: other side
In the (local County court name here) County Court
Tick by application in pending proceedings
The Claimant; you
Applies for an order that The Defendant: other side.
Must: cease trading as (The other side Limited company name)
be forbidden: from trading as (the other side Limited company name) and sourcing, procuring, contacting the existing customers of (your company)
The evidence of: you and other directors here, sworn on (date to be provided when you do a witness statement)
Application served upon (Defendant name)
This application is filed by (you)
whose address for service is: The company address
Signed and dated.
Is that ok?
Customer: replied 2 years ago.

Thanks Alex, Can I refer to the terms that were agreed at the meeting and attach a copy?

Expert:  Ash replied 2 years ago.
Thats not for the injunction, that is to be included in your witness statement as the REASON for the injunction.
Alex
Customer: replied 2 years ago.

Hi Alex, I have received a letter back from the court stating "The application states this is within existing proceedings but there do not appear to be any such proceedings" could you tell me please what this could mean, thanks

Expert:  Ash replied 2 years ago.
Did you tick pending proceedings as I suggested?
It appears you may have ticked in existing proceedings.
Alex

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