sole trader and court claim over business Advertising Bill

[thelightbrigade]

This is the scenario in brief....

A sole trader is being taken to court for a balance for advertising deal.

 

The actual document agreeing to the contract is not signed by the business owner, and is signed by a person who put their position in the company as 'director'.

 

The business does not exist anymore. It was never registered with companies house in any form.

 

Can a sole propriotorship company have a director?

Is this contract therefore unenforcable?

 

any advice appreciated

[Guest wino]

I believe that Directors are part of a limited company and would need to be registered as so at Companies House.

 

If the person was a 'manager' (say) of the sole traders company and he signed the agreement then this is considered to be done with the sole traders permission. That is if the sole trader has let this person sign for things before. If he had made it clear that only he himself can sign for things then the 'director' should not of signed this contract.

 

As a general rule as a sole trader the buck will stop with him.

 

If as you say this is going to court I suggest getting proper legal advice.

Edited July 18, 2008 by wino
Waffling