Crosswords1 min ago
Effective small Claims process to get my money (�5875.00) from a company who won't pay up
I paid a Gold Membership Deposit of �5875.00 to a Own a Home Ltd t/a Property Investment Club, based in Slough, Berks. This was paid as a refundable deposit, in order to have first refusal on any future property deals. In March 2008, as no deals were forth coming, I requested a refund of my monies. This was agreed as they asked for my bank details. However, they never credited the monies back to me. They citied they didn't have any liquid cash available to pay me back and assuring me, they would assist in utilising these monies in any deals I decided to go ahead with. Unfortunately, this also never happened, because their property deals never stacked up in my favour.
For the last for 6 months, I have tried in vain to make contact with the company regarding this matter. During last 2 weeks, I sent a final demand letter threatening legal action, via registered post. Still no response.
As I am now ready to pursue this through small claims court, I have just heard that they are due to go into Administration, and have a creditors meeting on the 22nd April 09.
My predicament is: Do I still go through the small claims court for my monies?
Do I attend this creditors meeting, and submit my claim there, Knowing that my claim is small compared to others who will be there. My chances of getting anything has now plummeted to zero.?
If anyone can enlighten me as to what I should do, please advise.
Also, if there are anyone who has had bad experiences with this company, especially regarding property deals and Gold membership, please get in touch.
Company Details are:
Own a Home Ltd t/a The Property Investment Club, located at The Nova Building, Herschel Street, Slough, Berks SL1 1XS (UK).
Registered in England & Wales number 05069078. Current Registered Address: Gladstone House,
77/79 High Street, EGHAM,Surrey, TW20 9HY
For the last for 6 months, I have tried in vain to make contact with the company regarding this matter. During last 2 weeks, I sent a final demand letter threatening legal action, via registered post. Still no response.
As I am now ready to pursue this through small claims court, I have just heard that they are due to go into Administration, and have a creditors meeting on the 22nd April 09.
My predicament is: Do I still go through the small claims court for my monies?
Do I attend this creditors meeting, and submit my claim there, Knowing that my claim is small compared to others who will be there. My chances of getting anything has now plummeted to zero.?
If anyone can enlighten me as to what I should do, please advise.
Also, if there are anyone who has had bad experiences with this company, especially regarding property deals and Gold membership, please get in touch.
Company Details are:
Own a Home Ltd t/a The Property Investment Club, located at The Nova Building, Herschel Street, Slough, Berks SL1 1XS (UK).
Registered in England & Wales number 05069078. Current Registered Address: Gladstone House,
77/79 High Street, EGHAM,Surrey, TW20 9HY
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Good luck. I hope someone can help you but unfortunately I don't think things look promising. These sort of companies are almost impossible to have success with at the best of times and the fact that they seem to be going into liquidation makes things even harder.
You may just have to put it down to experience- just avoid these schemes in future
You may just have to put it down to experience- just avoid these schemes in future
There's no point in going via the small claims' procedure unless the debt is contested. i.e. if the company said that they don't owe you any money you would need to go court in order to show the administrator (or receiver) that you should be included in the list of creditors.
As long as the company (or administrator/receiver) acknowledges that you're a bona fide creditor, you'll gain nothing by going to court. Once a company goes into administration, its accounts are effectively frozen until the administrator determines the appropriate course of action.
Theoretically the creditors could be asked to accept a percentage of the money due to them, in order that the company can come out of administration and recommence trading. In practice it's almost certain that the administrator will find that thee is no hope of the company staying in business, which will mean that it will go into receivership.
Companies like this one usually have very little in the way of fixed assets. (Even their office furniture and equipment are often leased). So, regrettably, any payments to the creditors are likely to be limited to a few pence in the pound or, quite possibly, to nothing at all.
Chris
As long as the company (or administrator/receiver) acknowledges that you're a bona fide creditor, you'll gain nothing by going to court. Once a company goes into administration, its accounts are effectively frozen until the administrator determines the appropriate course of action.
Theoretically the creditors could be asked to accept a percentage of the money due to them, in order that the company can come out of administration and recommence trading. In practice it's almost certain that the administrator will find that thee is no hope of the company staying in business, which will mean that it will go into receivership.
Companies like this one usually have very little in the way of fixed assets. (Even their office furniture and equipment are often leased). So, regrettably, any payments to the creditors are likely to be limited to a few pence in the pound or, quite possibly, to nothing at all.
Chris
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