“This was a distressing period for me and I was glad that I contacted Thomas Riley of NDP, who immediately put me at ease and made the situation much more bearable.”
When a company goes into liquidation, it is a particularly stressful time for the directors and all others involved. This is often compounded if the Liquidator alleges a breach in the duties of the directors and makes a Misfeasance Claim against them. Misfeasance Claims, if successful, can lead to personal liability and can even end up with the family home needing to be sold, for example, to pay the claim.
Our Insolvency Litigation Solicitors are experienced in defending directors in such cases and have a strong track record in negotiating significant reductions in such claims along with time to pay agreements. In this testimonial, our client explains how Thomas Riley, one of our Insolvency Litigation Solicitors, achieved just such a result against an initial claim of £213,385.97.
Our client takes up the story
“Following on from the liquidation of my company, the Liquidator contacted me alleging that I had breached various fiduciary and statutory duties as a director of the company pursuant to the Companies Act 2006 and Insolvency Act 1986, and detailed claims against me for £213,385.97.
After asking me to justify numerous company transactions, the Liquidator then informed me that unless I made offers to settle the claim, he would issue a claim against me for £213,385.97 and if successful, look to enforce any judgment against my house.
I felt terrified about the possibility of losing my home, so I called Thomas Riley of NDP and he quickly grasped a full understanding of the case and explained the merits of my defence and reassured me that there were good prospects of reaching an achievable resolution to the claims, which did not involve me losing my home.
I subsequently instructed Thomas to represent me and he drafted a letter of representations to the Liquidator. Upon consideration of the letter, the Liquidator entered settlement negotiations with Thomas and the claim was resolved for a fraction of the total claim value with the settlement sum payable over an achievable time period.
This was a distressing period for me and I was glad that I contacted Thomas of NDP, who immediately put me at ease and made the situation much more bearable. I would like to thank NDP for their legal services and would happily recommend them to others who require their services.”
Talk to us about Misfeasance Claims
Misfeasance Claims often involve an allegation that a director has misapplied money or other property of the company and/or breached his/her duties as a director. As this testimonial shows, although these claims can be highly stressful, there is often hope of a positive result, in which the outcome is bearable, rather than ruinous. Click here to see some more of our testimonials in this area.
We aim to be the director’s friend in these matters. If you are facing a Misfeasance Claim, the sooner you contact us or call us (0121 200 7040), the more we can do to help. The initial meeting is FREE of charge and without obligation.