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Ben Jones
Ben Jones, UK Lawyer
Category: Law
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I have won a claim at the employment tribunal and my old

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I have won a claim at the employment tribunal and my old employer has now sold his property and the company he traded under still remains live at company house. My employer has now re opened up close by but under a slightly different name. I have checked with companies house and the new property trades under a new company name. My question, how do I recover my money if my old employer has sold his property, do I still approach my ex boss as the old company is still live or do I approach his new company? Or do I approach him direct.
Submitted: 11 months ago.
Category: Law
Customer: replied 11 months ago.
Not sure if anyone is reading my question ?
Customer: replied 11 months ago.
Also I have apply to the court and they sent balif out and they have come back saying my ex employer does not own the property any longer. And they won't do anything else to help
Expert:  Ben Jones replied 11 months ago.

Hello was it a limited company?

Customer: replied 11 months ago.
Customer: replied 11 months ago.
it is a limited company
Customer: replied 11 months ago.
As I said it is a limite company which still shows with company house as still being live. Even though my old employer has sold his property but has now bought a new property and has now open a new company can I personal sue him
Expert:  Ben Jones replied 11 months ago.

You cannot personally sue a director of a limited company for the debts of the company. The whole point of a limited company is that it is its own legal entity and is responsible for its own debts. The directors are there to run the company but they are not personally responsible for its debts. So you are only able to take action against the company and its assets. Just because the company has sold off its assets does not mean they may not have money in their accounts you can pursue or some other assets so it would take some investigating to find this out. However, if the assets have been sold off and there is little money, it is unlikely that you will recover the amount you are owed. Thousands of legitimate debts do not get satisfied every year so you are certainly not an isolated case, this is unfortunately how the system works and limited companies will have limited liability so there will always be a risk. You are able to try and wind the company up (i.e. close it) and then get whatever there is left over from it but you will not necessarily rank in priority and you could find that you are the one who petitions to close it yet other creditors get what is left over in priority to you.

I'm sorry if this is not necessarily the answer you were hoping for, however I do have a duty to be honest and explain the law as it actually stands. This does mean delivering bad news from time to time. I hope you understand and would be happy to provide any further clarification if needed. If you are still satisfied with the level of service you have received I would be grateful if you could please take a second to leave a positive rating by selecting 3, 4 or 5 starts at the top of the page. Thank you

Customer: replied 11 months ago.
l thought company directors as well as their company's would be resposible for wages disputes? If I found the director home address could I sue him that way
Expert:  Ben Jones replied 11 months ago.

No I am afraid that is not how it works. You cannot sue the director for wages owed, the company itself is responsible for this. It is extremely rare that directors will be made liable for any debts, this is only done in situation where for example there has been serious fraudulent trading but that does not mean where they have sold off assets like in this case - this is not that uncommon

Customer: replied 11 months ago.
Okay I understand so if I wanted to continue I would need to wind down his company even though he does not trade from it, which would seem a waste of time. So there's no way I can approach his new business which trades as a similar name
Expert:  Ben Jones replied 11 months ago.

Sadly not, that would be a completely separate legal entity, your rights are against the specific company, just because there is another company with a similar name or run by the same people does not give you rights against it. It's like if a person owes you money, your rights are against him personally, you cannot go to his brother who has a similar name just because he is connected or close to him

Customer: replied 11 months ago.
Just one more question can I go back and ask the employment trub to re hear the case again using just the directors name as u feel the employer had planed this as he knew the outcome at the employment trub will be against him
Expert:  Ben Jones replied 11 months ago.

That will not be possible I'm afraid, you were employed by the company, your rights are against the company not the director so the tribunal will not hear a claim personally against the director

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