Agent gone bust

[BarbarianAtTheDoor]

I don't get it. If I don't submit a timesheet for the time I've spent at the client, can't the agency sue me if they can prove that I haven't taken any time off (some agencies insist on notifying them about holidays)?

Even worse, if I try to circumvent the agency and ask for the money directly from client, wouldn't I be technically stealing from the agency? It is their money according to the contract. Does the fact that they are bankrupt alleviate me from my responsibilities towards them in the contract?

[Gonzo]

I don't get it. If I don't submit a timesheet for the time I've spent at the client, can't the agency sue me if they can prove that I haven't taken any time off (some agencies insist on notifying them about holidays)?

Even worse, if I try to circumvent the agency and ask for the money directly from client, wouldn't I be technically stealing from the agency? It is their money according to the contract. Does the fact that they are bankrupt alleviate me from my responsibilities towards them in the contract?

This is the reason that you need to get the client on side to terminate their contract with the agency in tandem.

[BarbarianAtTheDoor]

This is the reason that you need to get the client on side to terminate their contract with the agency in tandem.

Point taken, but let's say that we do and promptly draw up a contract between my ltd and client. Wouldn't that constitute me breaking the contract with agency? I never studied British corporate law, so I'm obviously out of my depth here, but if they are under administration, don't they have protection against their creditors (me) but still have all the rights towards their debtors (client)?

[malvolio]

If the agency has ceased trading and/or stopped paying YourCo, the contract is dead and gone anyway. You're in business, you need to sort it out to your own best advantage, nobody else's. Apart from anything else, as a director of a company you have a legal duty to optimise your company's income.

[BarbarianAtTheDoor]

If the agency has ceased trading and/or stopped paying YourCo, the contract is dead and gone anyway. You're in business, you need to sort it out to your own best advantage, nobody else's. Apart from anything else, as a director of a company you have a legal duty to optimise your company's income.

So you're saying that if the agency sued me based on the above events, they wouldn't stand a chance in court? Again, I don't claim to be an expert on this, but wouldn't that mean that if a company goes bankrupt no outstanding money would be collectable? The service on behalf of the agency was already provided to the end-client, so I just can't see how not raising a timesheet towards them could be done in good faith.

I think I do understand why you're saying about any future duties, but going into administration does not equal "ceasing trading", does it? If my contract does not state unusually strict payment terms, how can I make sure that I don't have to keep raising invoices against a company from which I won't see a penny?

[malvolio]

If the agency has ceased paying you, they have broken the contract. If they are no longer trading - which is what "in receivership" means - they are no longe competent to service your contract. The time sheet proves you did work for the client. The client probably isn't too interested in you getting paid, but the agency no longer can. Give the timesheet to the receiver and all that happens is they have another few grand to add to their pot pf money to pay off the agency's creditors, since they will insist the client pays them. On the other hand, the client has a job to do and may want to novate their contract to another agency that can pay its bills, and you go with it. If that happens, the timesheet might prove quite a valuable thing to have.

Perhaps you should read your contract properly. And get professional advice.

[perplexed]

Tried contacting the CEO or Directors directly? I`ve heard of a few contractors in the past have managed to get some money out of those involved, as they at least had some integrity and guilt over the failure.

I`d love to see the recent divi payout records of Pendragon

Hahahahahaha.

No, sorry that was uncalled for.

Hahahahahahahahahahahahahahahahahahaha.

Maxine Fack and Rob Holden have been incredibly evasive, disingenuous and indeed outright fibbed / lied, both to contractors and the Met Office.

Integrity, guilt? nah. They've been blaming the bank for overdraft issues. Not their fault, oh no. Apparently, they haven't paid the landlord for months, haven't paid the cleaners and the place is stripped bare.

This bit is interesting, if any of you good guys out there can add any info?

"Name & Registered Office:
<details removed by admin. While this is info in the public domain we see no need for it to be published here. Details can be looked up in a number of places>
Company No. 03581053

It's been claimed Burton Sweet Corporate Recovery are not registered with Companies House - anyone here with any knowledge about them?

[eliquant]

I may have missed something above but why don't talk direct to your client and just get them to cut their relationship with Pendragon stop any payments to them and pay you direct via a different agency ? Just ask them for an alternative agency which is preferred and go with them.

As stated somewhere above if you've got the signed timesheets but haven't submitted them hold onto them and don't send them in, if its actual 'invoices' that you have FROM the agency then that money may seem lost as your are last in the pecking order for the creditors but there have been cases of people who fought for their money and clawed some back, if you give up they will walk all over you. I had a major mistake made by a bank for my business account for my limited, I was misinformed and I was naive as it was my first contract, the government took £80k or so from the account straight into the treasury without prior warning, I had a tiny fight in the high court (which cost around £400) more of a formality but had I not fought that I would have lost the lot.

[Town64]

As the Pendragon contract is now null and void from the date they become insolvent then we're all effectively working without a contract so the sooner contractors get in touch with the client to work direct or work via another agency the better.

At the Met Office, we're awaiting their preferred approach for those of us still on site.

As for the creditors meeting, a past Met Office contractor has contacted a lawyer to see if there's a case of wrongful trading. This would make the directors personally liable for the debt.

Examples of wrongful trading are:

• Not filing Annual Returns for the company at Companies House.
• Not filing annual or audited accounts at Companies House.
• Not operating the PAYE scheme correctly, failing to pay PAYE and NIC when due, building up arrears.
• Not operating the VAT scheme correctly, building up arrears.
• Taking excessive salaries when the company cannot afford them.
• Taking credit from suppliers where there was no "reasonable prospect" of paying the creditor on time.
• Wilfully piling up debt.

Is anyone at AWE, Research Council or other affected sites looking to go down this avenue?

[Janner]

Tried contacting the CEO or Directors directly? I`ve heard of a few contractors in the past have managed to get some money out of those involved, as they at least had some integrity and guilt over the failure.

Integrity and the CEO (of Pendragon). Not exactly something that goes together.