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Ben Jones
Ben Jones, UK Lawyer
Category: Law
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Can agency deduct money if work as Ltd c

Resolved Question:

Can agency deduct money for loss if work for them as Ltd company?
Submitted: 1 year ago.
Category: Law
Expert:  Ben Jones replied 1 year ago.
Hello does the contract you have say they can?
Customer: replied 1 year ago.
Let me please explain more. I am HGV driver and work for agency but as Ltd company. I am not sure what kind of rights I have and can they deduct money for lost or damaged pallets etc. without my permission?
Customer: replied 1 year ago.
There is no contract and I am just driver, I do not use my own truck
Expert:  Ben Jones replied 1 year ago.
If they deduct any money from your pay for this then that could amount to a breach of contract because it should only be allowed if the right exists under a contract. So if there is no contract it mean that they do not have the contractual right to make such deductions so it would be a breach of contract. The ability to make such deductions must have been agreed in some way, whether verbally or in writing in the contract. Can therefore consider challenging the employer over this, regardless of whether you are a limited company. This is your basic legal position. I have more detailed advice for you in terms of the steps you can take to pursue that money if it is not retuned to you, which I wish to discuss so please take a second to leave a positive rating for the service so far (by selecting 3, 4 or 5 stars) and I can continue with that and answer any further questions you may have. Don’t worry, there I no extra cost and leaving a rating will not close the question and we can continue this discussion. Thank you
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Expert:  Ben Jones replied 1 year ago.
Thank you. Whenever a dispute arises over money owed by one party to another, the debtor can be pursued through the civil courts for recovery of the debt. As legal action should always be seen as a last resort, there are certain actions that should be taken initially to try and resolve this matter informally and without having to involve the courts. It is recommended that the process follows these steps: 1. Reminder letter – if no reminders have been sent yet, one should be sent first to allow the debtor to voluntarily pay what is due. 2. Letter before action – if informal reminders have been sent but these have been ignored, the debtor must be sent a formal letter asking them to repay the debt, or at least make arrangements for its repayment, within a specified period of time. A reasonable period to demand a response by would be 10 days. They should be advised that if they fail to do contact you in order to resolve this matter, formal legal proceedings will be commenced to recover the debt. This letter serves as a ‘final warning’ and gives the other side the opportunity to resolve this matter without the need for legal action. 3. If they fail to pay or at least make contact to try and resolve this, formal legal proceedings can be initiated. A claim can be commenced online by going to www.moneyclaim.gov.uk. Once the claim form is completed it will be sent to the debtor and they will have a limited time to defend it. If they are aware legal proceedings have commenced it could also prompt them to reconsider their position and perhaps force them to contact you to try and resolve this. Whatever correspondence is sent, it is always advisable to keep copies and use recorded delivery so that there is proof of delivery and a paper trail. The court may need to refer to these if it gets that far.