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Nicola-mod, Moderator
Category: Law
Satisfied Customers: 21
Experience:  Moderator
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I was the director of a limited company who has ceased to trade

Customer Question

I was the director of a limited company who has ceased to trade owing another company approx £4k.

This other company has started to contact my customers (those he can find) via email and letter and tell them that I am underhanded and not an honest person to deal with and building a picture about me that quite frankly isn't 100% accurate.

I have written to the company consigned (addressed to the directors) requesting that they cease.

I believe there is an act called the Administration of Justice act Section 40 and according to the internet they director consigned could be committing a criminal offence by doing this.

1. Am I correct re the Administration of Justice act ?

2. What can be done to stop him contacting some of my customers, some of whom had not connection with the company which has ceased but with another business.
Submitted: 4 years ago.
Category: Law
Expert:  Ash replied 4 years ago.

Alex Watts :

Hello my name is Alex and I will help you with this. Please note that I am a working Solicitor and may be on and offline as I have to attend Court and meet with clients, even at weekends. As such you may not get an instant response when you reply, but rest assured I will be giving your question my immediate attention upon return You do not need to wait here as you will get an email when I reply.

Alex Watts :

Have you reported this to the Police at all? Have they told customers things that are untrue please?

Customer : They are hinting on the fact that I have defrauded them and they have lost money. They say they have reported it to the police & trading standards but I have not as yet.
Customer : They are telling my customers that I owe them money, when in fact it was my defunct limited company that did. Hence by telling them it's me they are not telling the truth.
Customer : no I haven't reported it to the police as yet should I ?
Alex Watts :

I assume that he is not demanding payment from these people so it would not be an offence under Section 40. This only applies to unlawful harassment of a debt.

Alex Watts :

But you should report this to the Police if what he is saying is untrue.

Alex Watts :

Sadly the Police may consider this to be a civil matter.

Alex Watts :

If so then you need to write to him and ask him to stop spreading lies or say you will take the matter to Court.

Alex Watts :

If he refuses then you should get a Solicitor to write a letter and ask him to stop

Alex Watts :

If he refuses then the next course of action would be to issue proceedings and seek an injunction.

Alex Watts :

However this would be quite complex and it is libel/slander and a specialist type of proceedings.

Alex Watts :

Generally you would need to issue High Court proceedings and instruct specialist lawyers.

Alex Watts :

The typical cost of this would be around £15,000 if it went to trial and if you lost you would have to pay the cost of the other side.

Alex Watts :

Therefore I would suggest writing to him or getting a Solicitor to do so - this may stop and scare him.

Alex Watts :

As long as what he is saying is true, then you can not stop him

Alex Watts :

If what he is saying IS NOT true then you can stop him

Alex Watts :

Can I clarify anything for you about this today please?

Customer : The information he is saying is 80% accurate about the company that has ceased but he is tearing me with that brush to customers who didn't have any dealings with that company but with another business of mine. So effectively he is dragging another business down because of his actions
Alex Watts :

It is a matter that may be resolved through a Solicitor, but you may wish to take further action.

Alex Watts :

If this answers your question could I invite you leave feedback on my service which I hope has been excellent today, if you need more information or help then please click reply.

Please remember that I am always happy to help if you have future questions, even if I am in Court I can normally respond within a few hours. For future information, please start them with ‘For Alex W’.

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Expert:  Nicola-mod replied 4 years ago.

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