Urgent advise needed!!

[Sysman]

This has surely happened before.

Legal advice seem sensible for the amount of wonga involved, especially if there are several of you to split the costs.

Even if it's not what you want to hear, you will know where you stand, and maybe use it as a bargaining point in negotiations for future work with the client.

[MarillionFan]

Mmm. Interesting.

If company A wants you to continue, then I think they should pay you directly. Company B has gone bust so why pay them anyway. Let the receiver chase it. A should pay you.

[tim123]

One solicitor said that if A didnt pay B, the receivers probably wont bother chasing for long, as there will not be the money to take it to court etc etc.
C

For a debt of 20K plus, this is unlikely. If this got to court the receiver will win and the company will get stuck with the court costs to pay as well as the debt.

The receiver will chase any debt as far as possible unless he thinks that the debtor cannot pay. This doesn't seem likely in this case.

tim

[malvolio]

I assume you as a group have approached A with an offer to take on the work directly? Od did I miss something?

[Chezzi3]

Hi, spoke to a solicitor today, apparantly you cant get a garnishee order after the company has gone into Administration, let that be a warning to everyone, you should get one if you are not paid, but before liquidation!!

The only hope seems to be the company A coming to our rescue, which may not happen.
One solicitor said that if A didnt pay B, the receivers probably wont bother chasing for long, as there will not be the money to take it to court etc etc. So maybe A could pay us then? hope hope, Thanks for your help anyway.
C

[boredsenseless]

The money belongs to B' receiver.

If A pays it to the contractors, the receiver will still come chasing A for the money.

It's not illegal for A to pay the contraors but they won't nulify the debt to B by doing so.

tim

Correct from my point of thinking as well.

They may however pay the contractors as a goodwill gesture anyway though if they want them to continue to perform the work, since the ongoing work without the agents cut will save them cash over the long term.

[tim123]

The money belongs to B' receiver.

If A pays it to the contractors, the receiver will still come chasing A for the money.

It's not illegal for A to pay the contraors but they won't nulify the debt to B by doing so.

tim

[VectraMan]

I'm not sure if it applies if Co. B has gone bust but you can take out what is called a Garnishee Order against the sources of the debt. I.e A owes B who owe you, so you get the order against A to pay you the money directly.

Surely that amounts to giving preference to one particular creditor of B, which is a no no.

[Chezzi3]

Hi, we are a group of self employed free lance trainers who provide our services 90% to A through company B, we are not "employed" or Ltd companies.
C

[VectraMan]

What kind of "group" are you? I believe (and I may be wrong - ask an expert) that employees will receive unpaid salary and redundancy if the employer goes bust, which may apply if you are "employees" of the agency. To apply it to the client you'd have to prove you were really employees of the client, which is a bit different (and may well prejudice any future work they have for you).

If you were acting as a Ltd. company, then you're probably screwed. You'll be just another creditor of the agent, and company A is under no obligation to pay you anything.

[DaveB]

I'm not sure if it applies if Co. B has gone bust but you can take out what is called a Garnishee Order against the sources of the debt. I.e A owes B who owe you, so you get the order against A to pay you the money directly.

Probably wont do the relationship any good but it doesn't look that great anyway.

[Chezzi3]

Hi, I am new to this forum, but need to some urgent advice.
We are a group of colleagues who have worked for a company (A) on a freelance basis for many years. 2 years ago this company forced us to work through a 3rd party agency (B) which has now gone bust owing us £KKKK's!!

Company A has not paid B for work carried out during Nov & Dec and we have requested that this be paid to us directly instead of the monies being paid to B. But we are being told by A that legally they have to pay B first and it is up to B and or the receivers to pay us. (fat chance)!!

Comapny A want us to continue to work for them, now again directly, and want to help us but cannot pay us for the work we have already carried out via B.

Does comapny A have any legal obligation to us, as we were working for their own clients and representing them (A) and not B and have accrued expenses on behalf of A and their clients.

Can anyone offer any help, or advice as to where i can go.
Thanks
C