How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Joshua Your Own Question
Joshua
Joshua, Lawyer
Category: Law
Satisfied Customers: 26069
Experience:  LL.B (Hons), Higher Prof. Dip. Law & Practice
35043042
Type Your Law Question Here...
Joshua is online now

I am owed a large sum of money by a building developer. If

Resolved Question:

I am owed a large sum of money by a building developer. If he will not pay, is it easy to make him bankrupt?
Submitted: 2 years ago.
Category: Law
Expert:  Joshua replied 2 years ago.
Hello and thank you for your question. I will be very pleased to assist you. I'm a practising lawyer in England with over 10 years experience.

May I ask how much is owed please roughly?
Have you obtained judgement in court or has he admitted that the money is owed to you in writing?
Is the developer a ltd company or individual?
Customer: replied 2 years ago.

I am owed £100000. He has admitted in writing that he owes me the money. In fact I have a legal document confirming that I am owed £100000 which should have been paid some months ago. The developer is a limited company.

I hoe that this is helpful. The developer claims that he owes millions of pounds to banks and other investors and that he is managing the site of my old house on behalf of them. However I have evidence that he continues to build and develop other companies. Obviously I would like my money but I am prepared to bankrupt him if it can be done without risking any more money.

Expert:  Joshua replied 2 years ago.
Thank you. it is quite possible to apply to make the developer bankrupt but it is not free to do so. The first step however is free which is to serve something called a statutory demand. Demand is a document which you either serve upon the company personally or sent by registered post and is a formal demand for payment. The recipient has 18 days to either pay what is owed or formally apply to the court set aside a statutory demand. In order to set aside the statutory demands, the company must convince a judge that the money is not owed. If neither of these steps are taken within 18 days, you can apply for a winding up order.to apply for a winding up order, there is a court fee of £280 but in addition, the court will require you to pay the official receivers deposit which is presently £1250. This is a contribution towards the official receivers costs and is payable by the person entering the petition for winding up order.accordingly, as the costs are not insignificant, if you are considering taking this approach, you would wish to check the company's credit report using a service such as "duedil". if the company does a significant other debts as is claimed, your debt would be called together with any other unsecured creditors and any assets the liquidator is able to recover, will be shared between the creditors in proportion to the debts owed.However, serving the statutory demand itself is as above, free of charge and can be a powerful weapon in persuading reluctant creditors to pay what is owed and if the company wishes to avoid being wound up, they may make payments or at least offer substantive instalments so as to avoid the possibility you may apply for a winding up order.To serve a statutory demand, you can complete the following form:https://www.gov.uk/government/publications/statutory-demand-insolvency-form-41I hope the above is of assistance? If you have no further questions for now I should be very grateful if you would kindly take a moment to click to rate my service to you today or just reply back to let me know if the above is helpful. Your feedback is important to me. If there is anything else I can help with please reply back to me I'd be very grateful
Joshua and other Law Specialists are ready to help you