Agent went bust, offers to pay only 30 % of unpaid invoices.

[techno]

Originally Posted by juststarting

My contract was recently switched to a new agent. Later , It turned out that the old agent were going bust. They are now unable to pay about 1k they owe me and offer to pay only 30 % of this.

When the contract was switched to the new agent we were told the business was “taken over” . Now however it turns out that the old agent is not able to pay off debts to me and probably others.


The letter that they sent me tries to convince me that the 30 % of the owed 1 K is the best I can get , because the “company has no tangible assets” and hence asking for more than that is “ultimately pointless”.

So do I avoid all hassle and swallow down a 700 loss , or hire a solicitor like http://www.thomas-higgins.co.uk/ . ?

I have had an agency go bust on me and let me tell you 30% is a cracking good result, I got 0%.

Take it and move on - as Mal says it is a major positive for IR35

[juststarting]

Originally Posted by techno

I have had an agency go bust on me and let me tell you 30% is a cracking good result, I got 0%.

Take it and move on - as Mal says it is a major positive for IR35

Techno , did you not proceed and sue ? Or have you concluded there is no point ? I have..

[Clippy]

Originally Posted by Just1morethen

The agency couldn;t have gone bust of they are offering to pay 30%. Only a liquidator can do that.

Agreed.

I would chance my luck at 50% and if un-successful, take the 30% and run.

[NickNick]

And I'd consider yourself very lucky. I got 0% when an agency i was using went Tulip owing me 15K

[ASB]

Originally Posted by malvolio

You can, but you are at the end of the line for payment after the taxman, the banks, the staff and their secured creditors. I suspect 30% is actually quite a good result.

Look on the bright side - it's a good anti-IR35 defence...

Actually you can take the taxman out of that list. HMRC lost their preferred creditor status about 5 years ago. But yes, the OP will still be at the end of a queue.

[techno]

Originally Posted by juststarting

Techno , did you not proceed and sue ? Or have you concluded there is no point ? I have..

Who to sue...?

The liquidators could not establish that the directors had gone against their *legal* requirements as per company law so could not sue personally and as others have said us contractors are at the end of a long list.....

Take the 30% before it is revoked

[ft101]

Originally Posted by Bluebird

Hi ft101 where abouts in Cdf are you?

Whitchurch area mate.. you?