Small Claims Court Help

[cio_2001]

Hi,

I invested in a business in 2012 and paid a company £7500 for a minority shareholding. Everything was going good but right at the end of 2012 the majority shareholder was very aggressive and made it very clear he didn't want me in the business anymore.

I was a director of the business and my shareholding was sent to companies house. The majority shareholder removed me as a director and moved all the shares back into his name via companies house.

We are now at deadlock and haven't really talked for a year or so but I have now come to the point where I would like to talk him to court.

Because the value is £7500 I am keen to submit this over to the small claims court and my question is will they review it and take action on it. Or would the £410 to submit the claim be wasted.

I did sign a shareholders agreement but the terms on there state the shares would be purchase at fair value but I know the company has alot of debt and he is hiding some of the t/o.

All i want is my £7500 back plus interest.

Can anyone please help me and advise want could I do?

Kind Regards

 

[Big G]

Hi there,

Really sorry to hear about this current situation.

Does the majority shareholder dispute that you should be owed the funds for any reason? Has he/she responded to your claims with any written dispute or explanation?

The Courts will of course issue your claim if you make the claim and pay the Court Fee. They will never simply look at it and make a decision on it. It is up to the debtor (majority shareholder) to defend your claim and then it will go to a hearing. Unless, the debtor is able to somehow prove to the Court in his defence that there is no basis for a claim then he can make an application to strike out but this is quite unlikely.

If you require assistance with this or any advice please do not hesitate to send us a provate message or look us up and call us for a chat.

Good luck if we do not hear from you!!

 

[The Sheriffs Office]

Big G is correct regarding the claim.

It will come down to whether the case has merit or whether they defend the matter.

Even if you do get judgment does the company have the means to pay or assets that can be seized?

We could draw up a Stat Demand for you and serve it on the debtor using one of enforcement agents. This would give them 21 days to pay before insolvency proceedings can be commenced.

If you do go the judgment route and payment remains outstanding then we could also enforce the matter for you. Here is a link - http://thesheriffsoffice.com/high-court-enforcement/enforce-county-court-and-high-court-judgments

Kind regards, The Sheriffs Office

 

[Charlie B ACS]

If he has moved the shares into his name, then the action would be against him personally, not against the company.

 

[cio_2001]

I was going to add them both on the claim form. You add 2 defendants on the money claim service. So 1 for the Ltd company and 1 for the majority share holder (personal name).

Is that the right action or not?

 

[Charlie B ACS]

I'm not sure that you have a cause of action against the Ltd Company, and if they are close to insolvent, then in all probability you wouldn't recover anything from it anyway