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Ben Jones
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 53710
Experience:  Qualified Solicitor
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My wife is a manager of a pre school which is going to close

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Hi my wife is a manager of a pre school which is going to close she is also on the comity as it is a ofsted requirement. The pre school is a charity which is in debt will she be liable for these debts as she is a comity member? She has been in the job for 6 to 7 months. It's a limited company but she is does not think they have the right insurance Thank you for your help

Hello, my name is***** am a qualified lawyer and I will be assisting you with your question today.

What are the debts for?

Customer: replied 2 years ago.
It is rent from a previous hall where they where based as well as wages and redundancy pay
Customer: replied 2 years ago.
They moved halls to try and reduce rent but they did not retain their numbers of children so now they will have to shut

Ok thanks I will reply around lunchtime as I'm traveling back right now

Customer: replied 2 years ago.
Ok thank you

Thanks for your patience. Whilst committee members could in some cases have personal lability, this would only apply to clubs or other unincorporated entities. The good thing here is that the school is incorporated as a limited company and as such it is its own legal entity and will have its own liability for all debt of the company. So not eve its directors or shareholders will have liability – it is the company itself as its own legal entity that will be responsible for its debts. It would have been a different story had this been an unincorporated entity with no own legal status in which case those people responsible for its running could have had personal liability but this is not the case with a limited company.

I hope this has answered your query. I would be grateful if you could please take a second to leave a positive rating (3, 4 or 5 stars) as that is an important part of our process and recognises the time I have spent assisting you. If you need me to clarify anything before you go - please get back to me on here and I will assist further as best as I can. Thank you

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Customer: replied 2 years ago.
basically then as long as they are a limited company my wife or the committee members will not be liable for any of the debts and just have to follow the correct procedure for insolvency. Thank you for your help, how do I rate you?