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 F E Smith Your Own Question

F E Smith
F E Smith, Advocate
Category: Law
Satisfied Customers: 8444
Experience:  I have been practising for 30 years.
Type Your Law Question Here...
F E Smith is online now

I have bought shares in an investment (The Corran Spa) with

Resolved Question:

I have bought shares in an investment (The Corran Spa) with assured 12% annual returns and assured resale of the shares upon request.
Those two fundamental aspects of the contact have been breached, as my annual investment returns were due last April 2016 and I have been informed by the developers that they are unable to pay the returns and they have suggested dept to equity plan.
I am planning to take a legal action and I need an advice about the course/time and fees involved in this process.
Best regards,
M Hamed
Submitted: 3 months ago.
Category: Law
Expert:  F E Smith replied 3 months ago.

I can’t see how in the current market, anyone could offer a 12% guaranteed return.

What 2 aspects have been breached?

Where is the company that you bought the shares in located?

Customer: replied 3 months ago.!the-corran-hotel-investment/cnjc
You can find more information about the company on the above link.
They breached:
1. The reassured 12% annual investment return. The payment was due on April 2016 and I was informed that they took the decision to postponed it. They suggested equity for dept to pay this return instead.
2. The reassured resale. According to the contract, they are obliged to sell my shares if I asked and failure to do so they have to pay 2.5% every year as a penaltly. I expreseed my interest to sell but they are pretty much ignoring my request.
Expert:  F E Smith replied 3 months ago.

I am extremely sceptical of an organisation that doesn’t have an address on its website.

There is no mention of it being a limited company and hence, you would be suing the individuals that run the organisation but, you are going to need their name.

They are allegedly regulated by this organisation

and it would be worthwhile making a complaint to them.

They are suggesting, I think you may is an equity for debt, also called equity swap, debt swap, which means that they give you equity in the development rather than a payment. However that’s no good if you want the income because otherwise, you are in exactly the same situation. It was an explanation

Ultimately if they don’t pay you the promised return or sell the shares then you are faced with taking them to court.

With regard to enforcing any penalty clause, these have to be a genuine measure of your loss otherwise a penalty is not enforceable. Your loss is obviously the original investment plus the 12% return.

Can I clarify anything for you?

Customer: replied 3 months ago.
Thank you for this valuable information. I will make a complaint.
What do you recommend? Make a complaint and if there is no effect then go to court? Or take a legal action?
If I am planning to go to court, do you recommend any service or do you have any advice?
Expert:  F E Smith replied 3 months ago.

I would make a complaint and if that proves fruitless, then go to court. You are going to need a physical address and the names of the principals.

A solicitor’s letter threatening the legal action and an application for costs in respect of the legal action might produce a result without the need of going to court.

You would need to find a solicitor preferably local to you that has experience of dealing with breach of contract claims in respect of investments.

F E Smith, Advocate
Category: Law
Satisfied Customers: 8444
Experience: I have been practising for 30 years.
F E Smith and 3 other Law Specialists are ready to help you

What Customers are Saying:

  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
< Previous | Next >
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
  • A quick response, a succinct and helpful answer in simple English. I believe I can now confront the counter party with confidence -- worth the 30 bucks! Rick
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther

Meet The Experts:

  • Jo C.

    Jo C.


    Satisfied Customers:

    Over 5 years in practice
< Last | Next >
  • Jo C.'s Avatar

    Jo C.


    Satisfied Customers:

    Over 5 years in practice
  • Ben Jones's Avatar

    Ben Jones

    UK Lawyer

    Satisfied Customers:

    Qualified Solicitor - Please start your question with 'For Ben Jones'
  • Buachaill's Avatar



    Satisfied Customers:

    Barrister 17 years experience
  • Max Lowry's Avatar

    Max Lowry


    Satisfied Customers:

    LLB, 10 years post qualification experience
  • UK_Lawyer's Avatar



    Satisfied Customers:

    I am a qualified solicitor and an expert in UK law.
  • Kasare's Avatar



    Satisfied Customers:

    Solicitor, 10 yrs plus experience in civil litigation, employment and family law
  • Joshua's Avatar



    Satisfied Customers:

    LL.B (Hons), Higher Prof. Dip. Law & Practice