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Jo C.
Jo C., Barrister
Category: Law
Satisfied Customers: 70526
Experience:  Over 5 years in practice
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I own a limited company and I am a personal guarantor as

Customer Question

I own a limited company and I am a personal guarantor as well for the property rent. I don't have any money in my bank or assets but I own a property out right with no Morgage.
How could a landlord potentially chase this through court if I was wanting to end contract early?
Submitted: 1 year ago.
Category: Law
Expert:  Jo C. replied 1 year ago.

Are you asking if you are personally liable?

How much is owed?

Customer: replied 1 year ago.
Nothing is owed. I am not happy with current contract and relationship so if I was to walk away from Contract what would I owe as a guarantor as I have (3 years remaining) if I had no cash and only a house bought out right with no Morgage!?
Customer: replied 1 year ago.
I know I'm personally liable as I'm a guarantor!
Expert:  Jo C. replied 1 year ago.

I'm not sure what your question is in that case?

Customer: replied 1 year ago.
I have 3 years worth or rent on my 6 year contract remaining. I want out of contract now but I am a personal guarantor. I have no cash or assets but own a house. The house has no Morgage and is paid for out right. Where do I stand if I want out of contract?
Customer: replied 1 year ago.
I hope that simplifies it? Thanks
Expert:  Jo C. replied 1 year ago.

Then you would be personally liable. They could pursue you personally as the guarantor.

Expert:  Jo C. replied 1 year ago.

They could seek a CCJ. It depends how much is owed. If there is three years worth of rent then they probably would although they are under a duty to mitigate their loss by seeking a replacement so wouldn't get the full amount due under the contract.

Expert:  Jo C. replied 1 year ago.

They could pursue your house.

It depends on the sum of the judgment and what arrangements you make to pay.

If it is more than £5k then probably they would seek a charge against your house.

Expert:  Jo C. replied 1 year ago.

They are not going to get an order for sale unless you bury your head in the sand and take no action at all to resolve this.

Expert:  Jo C. replied 1 year ago.

Can I clarify anything for you?

I'm just travelling so will be off for about an hour but should be back later.

Customer: replied 1 year ago.
Thanks for your help
Expert:  Jo C. replied 1 year ago.

No problem.

All the best.