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

[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/ . ?

[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...

[Bluebird]

has the agency gone into receivership?

who has the letter come from?

[juststarting]

Originally Posted by Bluebird

has the agency gone into receivership?

who has the letter come from?

The letter came from their Director. I am not sure if they've gone into receivership , this is hardly something I am competent in ..

[juststarting]

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...

Ok Mal. I guess the money is not that much to be taking this further...

[Crossroads]

What is the legal status of the company that was your "old agent" that your contract was with?

Who has made the offer? What exactly does the letter state? That the 30% is a full and final settlement?

[Just1morethen]

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

[juststarting]

Originally Posted by Crossroads

What is the legal status of the company that was your "old agent" that your contract was with?

Who has made the offer? What exactly does the letter state? That the 30% is a full and final settlement?

Yes they want to pay me 30 % for my Full and Final Settlement in return.

The letter says that the company has ceased to trade but cannot meet its obligations to its creditors. My Co is invited to issue winding up proceedings against them . Else in 90 days the company will be "stuck off" from the Register of Companies...

Frankly I don't think I have the energy to be dealing with all this at the moment... and will take the 30 %..

[ft101]

Should name names really, to protect the (other) innocents.

[Bluebird]

Originally Posted by ft101

Should name names really, to protect the (other) innocents.

Hi ft101 where abouts in Cdf are you?