How Limited works in dispute?

[scope]

maxima: Whats the company? I recently changed my business account with T-Mobile into a personal account and it was no problem what so ever.. They took my name and bank details and continued invoicing as normal.

[Wanderer]

I don't really feel charitable today. I thought I'd close the account and let them recover money themselves...

I understand this will fall into the 'Limited liability' territory. Is it not? If I have 100 quid liability then whatever they can recover will be just that, 100 quid...

Is that right? (moral / ethics aside please).

Yes, pretty much correct. You and your company are separate entities and your only liability to the company is value of the share capital issued to you (typically 1 share worth £1). There is little they can do and for the sake of a few hundred quid they will most likely just write off the debt. They may also put a bad mark on your personal credit history as the director of a company that didn't honour it's debts and get back at you that way though.

Give it a try then grab a copy of your credit report in a few months time and let us know how you got on.

[northernladuk]

Not quite. If you close a company knowing there are outstanding debts, then you as a director are personally liable for them... Ask Mr Upton..

If you want to have a chat with Mr Upton this might be useful to you..

Leeds prison visiting information

[malvolio]

I am closing my old company. I wanted to transfer the mobile phone I have to personal account but it is still under contract. I don't see why it should be a problem as the provider is still going to get paid just on the different account.

But as you can imagine they are not going to make it easy and asking for reminder of months to be paid.. Hence I will be paying twice for number of months.

I don't really feel charitable today. I thought I'd close the account and let them recover money themselves...

I understand this will fall into the 'Limited liability' territory. Is it not? If I have 100 quid liability then whatever they can recover will be just that, 100 quid...

Is that right? (moral / ethics aside please).

Not quite. If you close a company knowing there are outstanding debts, then you as a director are personally liable for them... Ask Mr Upton.

And as we keep telling people, legally YourExCo and You are two totally different persons and will always be treated as such. The phone company have a contract with YourExCo and quite rightly want it to be honoured.

[Scruff]

Don't be a silly person

Just change the Debit Order details to your personal account and carry on?

[maxima]

I am closing my old company. I wanted to transfer the mobile phone I have to personal account but it is still under contract. I don't see why it should be a problem as the provider is still going to get paid just on the different account.

But as you can imagine they are not going to make it easy and asking for reminder of months to be paid.. Hence I will be paying twice for number of months.

I don't really feel charitable today. I thought I'd close the account and let them recover money themselves...

I understand this will fall into the 'Limited liability' territory. Is it not? If I have 100 quid liability then whatever they can recover will be just that, 100 quid...

Is that right? (moral / ethics aside please).