Do I have to pay adminstrators of Company that went bust?
I bought an MFI kitchen just before it went into administration but they failed to take payment from me.I tried to find someway of paying it but nobody had any record of me or my order at the time.
A year later I received a letter from an administration company who had bough the debt asking for the money I had owed to MFI. Stupidly I had spent the money on other things as I thought it would never come to light. My partner has now lost his job and I can't afford to pay them back, they have agreed to let me pay monthly and there is a payment due on the 15th of this month.
If I cant pay them do they have the same rights as a normal finance company to send my details to a debt recovery company where I would get default notices or CCJ etc? I have not signed a contract with them and I have heard they only spend so much time trying to get debts in and who would it be benefiting if I paid it anyway?
Any answers would be appreciated.
- 1 decade agoFavorite Answer
- benedettaLv 44 years ago
If the corporation records financial ruin, then the financial ruin court docket can cancel the debt or order the corporation to pay portion of the debt, yet in many circumstances the debt isn't paid in finished. that's a factor of the possibility of lending money to a corporation. Its additionally substantial to comprehend what corporation shape replaced into used. If its an LLC or an business enterprise, then the corporation can circulate bankrupt and you will't commonly sue the owner for something. If it replaced right into a sole proprietorship or a partnership, then you truly can commonly sue the owner(s) for my section. If a individual or corporation owes you fairly some money, and you think of they are going to record financial ruin, it could be sensible to seek for suggestion from an attorney approximately your rights. It additionally could be sensible to sell the debt to a collections organization at a loss, in an attempt to get better a number of your cash, inspite of the actuality that be careful in doing this because of fact in case you lie on the subject of the region to the collections organization, they might finally end up suing you.