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Ask Leon Your Own Question
Leon, Solicitor
Category: Australia Law
Satisfied Customers: 47867
Experience:  24 years experience. Admitted in New South Wales and the UK.
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I held the UK distribution agreement with an Australian

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I held the UK distribution agreement with an Australian business for over 10 years. The owner of the Australian business was notoriously difficult to get along with and the relationship required careful management. He terminated our distribution last year over a payment disagreement which we felt was unjustified. He also owed us money, the detail of which took time to resolve. I have just advised him that our bill is ready and he has told me he closed his year end and can do nothing further about it. We know he is being difficult. The question is what to do about it all?
Customer: replied 6 months ago.
The business is Sail Shade World. I will attach copies of the distribution agreement shortly. We had a lawyer look at the agreement sometime ago and we were told it was poorly written and perpetually renewing. Surely we should also be entitled to some compensation for early termination.
Good evening
Have you sent him the account?
What did the agreement say about termination?
Customer: replied 6 months ago.
This is his response. In respect to finalising any accounts from last year you were to do this in October after my return from Europe. My email 12/07/17 to you stated “In regards ***** ***** any outstanding financial matters I will happily do this on returning to my office in October. This will give you a chance to finalise the accounts.“ We have now closed out 2017 and filed our tax returns so cannot process any payment at all for 2017.I will reopen your access to B2B if we mutually put a line under everything as of today and will you please try and see that you staff are not so much work?He complains about my staff because they have raised two service quality issues.
Customer: replied 6 months ago.
I have not yet responded to him.
Customer: replied 6 months ago.
The manufacturer gave his reasons for termination. Among other things, he was annoyed that I held back money being invoiced on a monthly account. I did this because he owed us a significant sum and was not willing to offset this money. He wanted to pay it back when he was ready. There was also the matter that he was confusing business funds with personal funds. He wanted us to pay what was due on our business account to a UK individual in respect of a house rental for him when he came to the UK. It became embarrassing for him when I withheld the monies back and this prompted the termination. This scenario is very complicated to be honest. What I really need to know is how easy is it to take legal action on an Australian business and how would I go about doing that in the best possible way?
Customer: replied 6 months ago.
Could you advise me on what I should write back to him as a holding email until I know where I stand on this position.

What did the agreement say about termination?

You have a right to claim your money and him closing off the year is irrelevant he owes you the money.

Is the agreement between you and him or you and the company?

Is it the UK company or the australian company?

Your response has to be based on the agreement and the alleged email that you send you invoice in october 2017 does not change the agreement.

Customer: replied 6 months ago.
I agree with you. The agreement is between the two businesses, mine which is Amazon Irrigation Limited and his which is Sail Shade World. His business is based in Australia. How do you recommend I reply? He won't make this easy. He will force me to take the legal route.

Good Evening

How much money are you owed?

Customer: replied 6 months ago.
Just under £8,000

Good Evening

Send them the invoice and give them the standard time to pay.

If they fail to pay then you can issue them with a Statutory demand.

It is the alternative to suing in court.

You rely on the agreement you have with them.

Here is some detailed information.

If they do not pay in 21 days they are deemed insolvent and you can put them into liquidation.

You will need to hire a Solicitor in Australia to do this for you.

He would be foolish not to pay.

Also you can have the agreement looked at by the solicitor and have them give you more detailed advise on compensation if it has been terminated incorrectly but the other side.

But you have to send the invoice and he has to fail to pay in time before you can issue the demand.

I hope this has assisted you with your question today.

If you wish to have a phone call to discuss this in more detail please elect a call or I can send you a request.

I hope this makes sense and is of assistance. If you have found my answer to be helpful, please rate me five stars so I can get paid for my services to you. You rating my work 5 stars allows me to continue to provide a service to those who require it.

I am happy for you to ask further questions on anything you wish more detail on.

Let me know if I have answered your question today.



Leon and other Australia Law Specialists are ready to help you

can you give me the whole number including the country code?

Customer: replied 6 months ago.
the landline might be best on 441322 667255

The lawsociety of SA is as follows

Customer: replied 6 months ago.
Thank you for your call and I look forward to receiving your information on the Australian Law Society so that I can identify a solicitor local to my supplier. Many thanks, Gill

Good Evening

You are very welcome

Here is there link again, I had sent it during the call.

The lawsociety of SA is as follows

Contact them and ask for a solicitor that practices in Corporate Law.