Am I liable for partners personal guaruntee?

Discussion in 'Insolvency' started by alyaster, Jun 8, 2020.

  1. alyaster

    alyaster UKBF Newcomer Free Member

    8 0
    Hello All,
    Just looking for some advice. My husband signed 2 personal guaruntees for our jointly owned business.( without my knowledge) The company is unable to repay them so they are both calling in the personal guaruntees from my husband.
    Unfortunately the demise of the business is resulting in us getting divorced. His half share of our assets ( family home ) wont cover the PG's so I need to know if they can come after my share too?
    He also has a sizeable pension, which my solicitor says I am owed half but perhaps he needs to repay the PG's out of this? Which again would need my share to cover the debt.
    Any help or advice would be gratefully received
     
    Posted: Jun 8, 2020 By: alyaster Member since: Jun 8, 2020
    #1
  2. Gavin Bates

    Gavin Bates UKBF Enthusiast Free Member

    668 136
    Hi

    You are not liable for the personal guarantees that your husband entered into.

    Regards

    Gavin
     
    Posted: Jun 8, 2020 By: Gavin Bates Member since: May 9, 2016
    #2
  3. KAC

    KAC UKBF Ace Free Member

    1,195 269
    Is the house in joint names or just your husband's?

    Do you have a lawyer acting for you in connection with the divorce? Maybe you should speak to them as assets are not necessarily split 50/50
     
    Posted: Jun 8, 2020 By: KAC Member since: May 7, 2017
    #3
  4. Mr D

    Mr D UKBF Legend Free Member

    22,971 2,765
    His assets can be used to pay his debts. Is his pension his asset or a joint asset?
    You will not be paying his debts however you may get less because he has lost assets. Not your share, his asset.
     
    Posted: Jun 8, 2020 By: Mr D Member since: Feb 12, 2017
    #4
  5. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,035 1,681
    He will not be able to draw from his pension unless is he over 55
     
    Posted: Jun 9, 2020 By: JEREMY HAWKE Member since: Mar 4, 2008
    #5
  6. alyaster

    alyaster UKBF Newcomer Free Member

    8 0
    Thank you for your replies. Yes the house is a joint asset but the pension is in his name only. He is over 55 so does that mean he will have to pay the PG from his pension fund? Can they touch that?
     
    Posted: Jun 9, 2020 By: alyaster Member since: Jun 8, 2020
    #6
  7. UKSBD

    UKSBD Not a real duck Staff Member

    10,045 1,970
    Is the business still in existence?
     
    Posted: Jun 9, 2020 By: UKSBD Member since: Dec 30, 2005
    #7
  8. alyaster

    alyaster UKBF Newcomer Free Member

    8 0
    Yes it is still in existence but with a much reduced turn over and wouldnt be able to pay the monthly charges to the lenders never mind the capital owed.
     
    Posted: Jun 9, 2020 By: alyaster Member since: Jun 8, 2020
    #8
  9. UKSBD

    UKSBD Not a real duck Staff Member

    10,045 1,970
    Would that not mean the debt is still the companies until the company is dissolved?
     
    Posted: Jun 9, 2020 By: UKSBD Member since: Dec 30, 2005
    #9
  10. alyaster

    alyaster UKBF Newcomer Free Member

    8 0
    The company has entered a CVA which is working well for it but one lender has refused to take their balance this way and just come after the PG, the other will take their CVA payment but come after the balance. I think the minute the company defaulted on payments they just invoke their PGs. Although I was a Director of the company I knew nothing about the PGs ( I knew nothing about a lot of things but thats a whole other thread! )
     
    Posted: Jun 9, 2020 By: alyaster Member since: Jun 8, 2020
    #10
  11. Chris Ashdown

    Chris Ashdown UKBF Legend Free Member

    11,597 2,412
    It's one of the common problems that partners and others are given a directorship but no advice as to what the lawful duties are that go with the directorship, I feel that companies house should send out a full list of the duties of a director to the new directors when they are notified that a director has been appointed


    AS your ex owns 50% of the house then the courts may attach a lien on the house, but unsure if they can force a sale in exceptional circumstances
     
    Posted: Jun 9, 2020 By: Chris Ashdown Member since: Dec 7, 2003
    #11
  12. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    3,523 448
    They could make the partner Bankrupt and the Trustee could force a sale.
     
    Posted: Jun 9, 2020 By: Lisa Thomas Member since: Apr 20, 2015
    #12