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james bruce
james bruce, Solicitor-Advocate
Category: Law
Satisfied Customers: 429
Experience:  Owner at James Bruce Solicitors
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I am sole director of a limited company. My client is

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JA: Hi. How can I help?
Customer: I am sole director of a limited company. My client is contemplating a legal action against me for negligent advice. My question is do I have any personal liability? Thank you.
JA: Where are you? It matters because laws vary by location.
Customer: London
JA: What steps have you taken so far?
Customer: i am in process of notifying insurer.
JA: Anything else you want the Lawyer to know before I connect you?
Customer: No thank you

Hello I will assist today.

Whether you have acted and given negligent advice would partly depend on you job, and advice given and in what context it was given.

Customer: replied 13 days ago.
I am a legal costs consultant. The advice concerned a valuation placed on a claim for costs.
Customer: replied 13 days ago.
Do I need to call you?

no need for a call,

The offer of a call is auto generated from the system.

With the role of your job, it would follow that clients would have a genuine belief and expectation to receive accurate and professional service. If this is the case, then you could be held liable for any negligent act. It could be the company held liable and if you are governed by a professional body, then possibly personal liability.

Could depend on your insurance.

can I assist further?

Come back to me if you have further questions regarding this.

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Customer: replied 13 days ago.
I am not governed by a professional body. The company is a limited company and I thought a director could not be held liable for civil claims. The company has no assets.

In most cases you are correct, However there are some exceptions to this.

A hight court example:a company director who signed a supply contract specifying payment obligations by the company made an implied representation that the company was able to make payment, which he knew was unlikely to be true. The director was jointly liable with the company in the tort of deceit, and, because his liability was based on fraud, he was not able to evade personal liability by sheltering behind the separate legal personality of the company.

More of an extreme example, but there can be exception. If however, your case is just based on wrong advice given then there should be no reason why the protection of separate legal personality from the company should not apply, and the person considering legal action should only be able to take this against the company.

james bruce and 5 other Law Specialists are ready to help you

Can I assist further.

Customer: replied 13 days ago.
Thank you James