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Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3652
Experience:  Solicitors 2 years plus PQE
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This company is BVI registered It has borrowed money in the

Resolved Question:

This company is BVI registered
It has borrowed money in the way of a loan note that is now overdue for payment.
The loan was to be governed under English law
The BVI Company has a subsidiary registered in Jersey involved in substantial litigation
The agent of the lender has always said they would wait for the litigation to conclude for repayment of the loan note
They have now issued a demand in which after 21 days they can wind up the BVI
I am unsure what stops the claimant’s lawyer from winding up the company as it seems they make the decision
We want to stop them doing this so assume a defense that the agent said they would wait for repayment of the loan will be enough to stop the Claimants lawyer trying to wind up the company
The BVI Company is also subject to a freezing order - does that make a difference in our favour
Submitted: 1 year ago.
Category: Law
Expert:  Alex J. replied 1 year ago.

Hi, Thank you for your question and welcome. My name is ***** ***** I will assist you. Has the statutory demand been served under English Law? Does the company have the assets to pay? Does the loan instrument contain a "Non Waiver" clause? Kind regards AJ

Customer: replied 1 year ago.
Hi AJ
Yes it has been served un UK law as the agreement had this
9.1. This Agreement and Loan shall be governed by the laws of the United Kingdom and any disputes arising shall be submitted to the UK Courts.No non waiver clauseIf it has to it can pay but it was agreed they would waitCan we switch to email as have to leave the office shortly - is that allowed
Expert:  Alex J. replied 1 year ago.

Hi, Thank you I am not allowed to correspond by email I am afraid. If you need to respond later I am available all day. The statutory demand does not mean they have to petition for the winding up of the company at the end of it. They can simply allow the 21 days to expire and at which point the demand will just be evidence that the debt is due and owing - have you asked the solicitor to confirm that they will not commence insolvency proceedings?

Customer: replied 1 year ago.
OK understood
can we do a call at 13.00 UK time
Customer: replied 1 year ago.
have had to go so will try to respond from phone thanks
Expert:  Alex J. replied 1 year ago.

Hi, Thank you. I unavailable for a phone call today. I can opt out and see if another expert is available by phone? If you would like me to carry on with this thread - can you send me a copy of the loan to review? Kind regards AJ

Customer: replied 1 year ago.
We have not asked the solicitor not to comence procedings. They are agtessive so think they will do so if we don't respond. We just want to be able to go back to them in a manner that stops them trying to wind the company up. Sorry am travelling now so can't send the agreement
Expert:  Alex J. replied 1 year ago.

Hi, Thank you. It sounds like the solicitors are doing this to create work for themselves - there is no need to submit the demand if the money is due and owing. Would the lenders agree to a formal written extension on the repayment date? That is the only way to stop enforcement action. I look forward to hearing from you.

Customer: replied 1 year ago.
OK thanks wili try that
Bye
Expert:  Alex J. replied 1 year ago.

Hi thank you. If you are able to provide me with a redacted version of the loan document I would be happy to review it. In the mean I would be most grateful for any feedback? Kind regards AJ

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