Free Traffic Legal Advice

In January 2019, a customer gave me a company cheque for work that I carried out on their private equipment in their home.

Without telling me, they stopped the cheque.

They said they weren’t happy with the work.

I offered to return and correct it at no further charge, but they refused.

At the end of January, I sent the director a ‘notice before action’ but didn’t follow it up.

I know I have up to 6 years to issue proceedings, but do I have to issue another notice before action letter?

I suppose the company as its a company cheque, I could of course sue both the company and the director but do I then need to send two seperate letters action before claim?

What will matter here is who your contract was with. Your post makes reference to the director's home and a company cheque, but the detail matters.

If your contract was with the director and he tried to pay you with the company's money, then it's the director who owes you payment for the work and you'd sue him.
If, on the other hand, the company hired you to do work on the director's home, then it's the company you'd sue.

I appreciate that with personal companies like this it may well be difficult to know exactly who the contract was with, especially 5 years down the line.

Also please be aware that if you do have to sue the company, depending on their asset position you may find it very hard to actually get the money out of them, especially if they liquidate.

What will matter here is who your contract was with. Your post makes reference to the director's home and a company cheque, but the detail matters.

If your contract was with the director and he tried to pay you with the company's money, then it's the director who owes you payment for the work and you'd sue him.
If, on the other hand, the company hired you to do work on the director's home, then it's the company you'd sue.

I appreciate that with personal companies like this it may well be difficult to know exactly who the contract was with, especially 5 years down the line.

Also please be aware that if you do have to sue the company, depending on their asset position you may find it very hard to actually get the money out of them, especially if they liquidate.

I was originally asked by the director to carry out the work, which I did.  When it came to paying the bill, she asked if she could pay by company cheque and could I make the invoice out for 'office repairs'.

I don't have that invoice, what I have is the invoice for carrying out work to her radiogram and a vintage radio.

I suppose I could sue both the director and the company.

I could also have a word with HMRC as she's obviously fiddling the tax.

The company has assetts of thousands of pounds.

Quote from: DrSatan on September 09, 2024, 01:39:35 pm

What will matter here is who your contract was with. Your post makes reference to the director's home and a company cheque, but the detail matters.

If your contract was with the director and he tried to pay you with the company's money, then it's the director who owes you payment for the work and you'd sue him.
If, on the other hand, the company hired you to do work on the director's home, then it's the company you'd sue.

I appreciate that with personal companies like this it may well be difficult to know exactly who the contract was with, especially 5 years down the line.

Also please be aware that if you do have to sue the company, depending on their asset position you may find it very hard to actually get the money out of them, especially if they liquidate.

I was originally asked by the director to carry out the work, which I did.  When it came to paying the bill, she asked if she could pay by company cheque and could I make the invoice out for 'office repairs'.

I don't have that invoice, what I have is the invoice for carrying out work to her radiogram and a vintage radio.

I suppose I could sue both the director and the company.

I could also have a word with HMRC as she's obviously fiddling the tax.

The company has assetts of thousands of pounds.

On the subject of tax, shouldn't you have kept that invoice for six years?

Is it more than six years since the invoice (presumably addressed to her, not the company) became due and payable? If so, you’re out of time to sue the director. If you are in time, your cause of action against the director is different to your cause of action against the company.