Limited company debt, what can balifs do

[Mr Happy]

I ran a business from home, it was a limited company, although it has not traded for 11 months it has not been legally closed, the registered office is my home address.

 

I have business debts and 1 company has taken me to court to recover their debt, they have been to a HCEO to recover the debt and have called at my house, they never gained access to my house but put a levy on my car, my car is registered to my name and not the limited company and I wrote them a letter advising this, I am sure they new anyway just trying it on, I also advised them that it is a private residence and no stock belonging to the company is held there.

 

They turned up again the other day with an attendance to remove letter, again not gaining entry but pushed it through the door, they have aded to the debt £520 for the attendance of an enforcement officer plus £78 VAT, taking the debt from £1700ish to £2911 from court fees previous bailiff visits etc.

 

My partner ends up in tears after every visit and as you can imagine she is very scared being at home all day on her own.

 

My question is can they get into my home to see that i have no stock by force, are they allowed to keep harassing my family, can they charge these fees? and most of all can I stop them calling.

[Dodgy Geezer]

Sorry. I cant give you a definitive answer.

 

This link might help.

 

Have You Been Visited By An HCEO?

[Mr Happy]

Thanks dodgy that link was a great help but didn't mention the limited company aspect.

 

BUMP please

[mkb]

I ran a business from home, it was a limited company, although it has not traded for 11 months it has not been legally closed, the registered office is my home address.

 

 

Not sure about the bailiff issue BUT would strongly recommend you call Business Debtline. It's free to call & the advice they give is fab (just going through striking off my Ltd Co so I know how helpful they are )

 

I would say that it was imperative to get the Co struck off & as you haven't traded for more than 3 months, this should be a formality. Ask them if this will stop the bailiff action.

[toddle2u]

Striking off a company takes at least 3 months as it has to be advertised. also you would need to write to all known creditors stating that you intend to strike off and enclose a copy of the notice.

 

Just applying will not stop bailiff action because the company will still be 'live' whilst it is going through the process of being struck off.

 

Firstly change the registered office address.

 

Have you advised them in writing that none of the companys assets are held at your home address? If not do so.

 

They cannot take any of your personal items but until the registered office address is changed it will be difficult ot stop them turning up

[danboy381]

Hello Mr Happy ,

 

No they cannot legally touch you or your car possesions etc etc. If the company needs properly burying, then feel free to PM me as I know very good people who can do this for you, and have used the same myself.

 

The bailiffs will try it on all day long though and probably hound the hell out of you. If you want to stop this hassle happening immediately, docs can be filed in the court that will do this.

 

db

[danboy381]

by the way, striking off isn't instant, it will take weeks, and in the meantime will prob cause more hassle for you.

 

db

[mkb]

Re. striking off this is from Companies House

 

How do I apply for a company to be struck off the Register?

Complete and send us Form DS01 with a £10 filing fee: The Registrar will provide the form on request. However, striking-off is only applicable to a private company if, in the past three months, it has not:

• traded or otherwise carried on business;
  
• changed its name;
  
• disposed for value of property or rights that, immediately before ceasing to be in business or trade, it held for disposal or gain in the normal course of that business or trade; or
  
• engaged in any other activity except one necessary or expedient for making a striking-off application, settling the company’s affairs or meeting a statutory requirement. A company can, however, apply if it has settled trading or business debts in the previous three months.
  

You say you haven't traded for longer than that so download the form, send a notice to all the Co's creditors then send the form with the £10 fee.

[kitchenboy]

Likewise my home is also the company's registered address, in my case I applied for strike off in march 2008 and am still waiting, money being owed to Inland revenue so they oppose the strike off, yet will not wind me up so I am left hanging in limbo.

 

Your creditor could oppose your strike off which as in my case will delay things however when I was threatened with bailiffs I had a stat declaration drawn up and keep that by my front door. Any hassles just hand them that and they will have to leave you alone. The stat. declaration costs £5 or so to do. Just find a local solicitor who is also a commissonor of oaths and that's it. When I did mine the solicitor was keen to stress that the stat. declaration is a very important document that can carry the same consequences as commiting purjury if any thing on your stat. declaration is found to be false.

 

The bailiffs risk you suing for damages if they levy and remove your personal goods once in receipt of your stat. declaration.

 

What I did, was to send along with a copy of the strike off application and copy of a stat. declaration, an invitation to each creditor to wind me up. Also tell them they risk court action if they don't stop persuing you personally.

 

If you have at any stage signed a P.G. with any creditor then things do change quite significantly and you will be personally liable.

[Nintendo Pü]

I ran a business from home, it was a limited company,

 

 

 

can they charge these fees?

 

You as director are not personally liable, the Ltd company is.

 

What fees are these? the law sets the fees as follows:

 

Schedule 3 of Regulation 13 of The High Court Enforcement Officers Regulations 2004

 

Where the sum due is £100 or less - 5%

Above £100 - 2.5%

Mileage Charges - 29.2p per mile Max £50

 

 

Sale of goods at auction - Reasonable costs.

 

If a bailiff produces no breakdown of his disbursements, he is unable to show that it is reasonable costs - Judge Avent, Culligan vs. Marston Group Ltd.

 

The law does not provide for bailiffs to make a gain for himself or another by charging reasonable and actual costs.

[Mr Happy]

Thanks for all your help its been a great help.

 

I have printed my forms now drafting a letter to creditors.

 

Breakdown of the debt first visit, £ rounded

 

Judgement debt 1619

Judgement Cost 85

Execution cost 50

Interest 11

Sheriffs Fees 473

VAT 71

total 2310

 

 

Last visit

 

Attendance of enforcement officer with transportation

520

VAT 78

Total 2911

 

My maths arn't that good but it looks like they are unreasonable fees to me

[Nintendo Pü]

If he has not transported your goods then his disbursements are nil.

 

The regulations prescribe 29.2p per mile with a maximum of £50. Its 171 miles.

 

I cant find anything in the legislation remotely described as Execution costs, Sheriffs fees and Attendance of enforcement officer with transportation (sic). It looks like they are tricksters having a laugh.

 

I Dont know any legislation obligating you to pay them except for the prescribed 5%/2.5% on the judgement debt. If you have already paid this money then you can reclaim it.

[Nulla Bona]

If there really isnt any goods of your company at your house you shouldnt have anything to worry about.

 

Bet they've come back just to see if theirs a company van or something there. You probably wont here from them again.

 

The fees detailed sound like they fall under Rule 12 as they're not prescribed for elsewhere. Different HCEO's charge different fees under this rule. Depends how much it costs them to run their business.

[tiaposy]

Hi. I need help with the same sort of problem. Ltd company - haven't traded for 18 months, but company still live at companies house. Registered address is my old address, however just had a VAT demand at our new house. I have spoken to business debt helpline who were very helpful and suggested striking the company off. I am just waiting to speak with our accountant to get his advise.

Thing is, VAT want to send in bailiffs. We have a van parked outside, but is in hubby's name (there are no company assets here) which I can prove with log book. we owe about £4k VAT (although they think it is £13k). I am just worried about going through with the striking off as my husband has just inherited a house and don't want to lose this. Any help gratefully received. Thanks

[danboy381]

Hello Tiaposy,

 

How is the van insured - if they do turn up with an interest to take the van you can show them the log book, and insurance details if its in an individuals name.

 

You could liquidate the company, which will cost min of about 4k, and of course the minute you do this any enforcement action will cease. Trouble is the debt is 4k which is not alot in the circumstances.The other problem is that they think its 13k, due to the fact they probably dont have all your returns, and have estimated them. They can do this.

 

You could submit the necessary forms to Companies house to strike off, but they may not be able to do this if there is money owing to the revenue.

 

Personally, I would write to the vat office dealing with the issue, tell them the co. hasnt traded for however many months for whatever reason, (i imagine you fell on hard times) has no asetts, and is just a shell. I cant see them wasting time chasing for something they wont get. And dont worry, they cant take your house! thats what used to happen years ago when HMRC where preferential creditors. Now they have to get in th eline like any other creditor.

[tiaposy]

danboy - thanks for this. I have spoken with our accountant and he has suggested the same thing. I will ring them and see what happens. We actually have the money to pay them, so hopefully should be o.k.

[seanamarts]

Hi. I need help with the same sort of problem. Ltd company - haven't traded for 18 months, but company still live at companies house. Registered address is my old address, however just had a VAT demand at our new house. I have spoken to business debt helpline who were very helpful and suggested striking the company off. I am just waiting to speak with our accountant to get his advise.

Thing is, VAT want to send in bailiffs. We have a van parked outside, but is in hubby's name (there are no company assets here) which I can prove with log book. we owe about £4k VAT (although they think it is £13k). I am just worried about going through with the striking off as my husband has just inherited a house and don't want to lose this. Any help gratefully received. Thanks

its best to start your own thread so that people dont get muddled up up