Ask a Law Question, Get an Answer ASAP!
Hello. I am Ed, a Solicitor qualified in England & Wales with over a decade’s experience in the legal profession advising clients.
I specialise in Commercial Contracts, Business Transactions, Employment, Dispute Resolution, Personal Injury and Road Traffic Law and will be able to resolve your legal problem today.
Regarding the site’s automatic offer of a Premium Service Phone Call, I shall be delighted to talk with you by phone to discuss your issue in greater detail if you accept the offer.
However, if you do not want a phone call, please cancel the offer for a Premium Service Phone Call and you will not be charged extra.
To enable me to answer your query, please provide me with some further information about your legal issue and how you want a lawyer to help you.
Have you been accused of setting up a "Phoenix Company" out of the ashes of the old company have have transferred its assets at an undervalue, or the old company traded while insolvent?
Who has charged the company with fraudulent trading and why?
"Fraudulent Trading" and "Wrongful Trading" are terms under the Insolvency Act to describe a company that is trading while insolvent and selling off assets at an undervalue to a buyer where the transaction is not at arm's length. That is why I was confused over the problem.
I don't think that dissolving the company will cease the investigation by Trading Standards as they can still pursue the responsible directors and employers personally.
The insolvency of a party does not automatically terminate a contract or court proceedings. It is like that that TS would keep your company on the Companies House Register on the basis that your attempt to liquidate it is a deliberate attempt to frustrate the proceedings. I cannot recommend that you take this step.
Possibly, but TS may seek an order for the Directors and Shareholders to pay the fine and costs personally.
I have answered your questions as far as I am able to on the Portal. Obviously, there is a limited amount of advice I can give based on a few lines of text on the Just Answer instant messaging Portal. Very often the best I can do is “point you in the right direction” for the sake of seeking more detailed advice.
If you want further bespoke advice, I need to review all relevant correspondence and documents and advise in a telephone call. I will place an offer of a Premium Service Phone Call Request through on the Portal. You may accept or reject it at your leisure.
Otherwise, I shall be grateful if you will please give me a positive rating in order to close this thread.