Our Insolvency Litigation Solicitors Successfully Reduce a Misfeasance Claim from £210,000 to £10,000
We are grateful to this client for sending us the following testimonial for the work of two of our team of insolvency Litigation Solicitors in reducing a misfeasance claim against her by the liquidator from £210,000 to £10,000. It is a story we often hear: an aggressive approach by the liquidator exacerbating an already stressful situation with the client fearing ruin. This testimonial tells of the approach we took – dealing with each of the liquidator’s claims, and using our expertise and experience to negotiate a settlement that saved our client £200,000.
The Company Goes into Liquidation and the Liquidator Issues a Big Misfeasance Claim
“I spent many years running a successful childcare business but over time cash flow became a huge problem. Despite my best efforts a Winding-Up petition was presented against my company. My company went into liquidation. Not long after the appointment of the Liquidators, I received a letter of claim from the Liquidator’s Solicitors demanding that I repay the company the sum of approximately £210,000 in respect of what the Liquidator claimed to be unlawful Dividends, an overdrawn Directors Loan Account and payments that I had made after a Winding-Up Petition had been presented against the company.
I was shocked to my core to have received the letter given that I had never personally profited from the payments that the Liquidator was seeking to reclaim from me. I spent much of the last trading year trying to improve the company’s cash flow position and continued to run the company to the best of my ability. I had paid salaries and expenses using my own funds, yet the Liquidator seemingly ignored all of the explanations that I proffered to him.”
The Client Seeks an Insolvency Litigation Solicitor
“With the real threat of misfeasance proceedings being issued against me, I knew that I had to obtain advice from a specialist Insolvency Litigation Solicitor. Although I live in South Yorkshire, I was unable to find any local Solicitors who had the requisite experience in dealing with cases like mine. However, my research led me to the website of Neil Davies & Partners and I could see immediately that Neil Davies & Partners had the skills and experience to assist me.
I contacted Sukhbir Mall and Suky Mann of NDP, both insolvency litigation solicitors, and discussed with them the misfeasance claims against me. Suky undertook a detailed examination of the Liquidator’s claim and began to undermine each element of the Liquidator’s claim. Suky put forward detailed and persuasive explanations for payments that I had made and set out why I was not in fact liable to repay those sums. I found Suky dealt with my case with not only professionalism and expertise but also in an approachable and no no-nonsense fashion.”
Our Approach Helped Ease the Stress
“During the final months of the company, my husband was terminally ill and passed away shortly after the company had been wound-up. The combination of the misfeasance claim against me by the Liquidator and then losing my husband was an immensely stressful period in my life.
I must say that Suky eased the stress I was under and took away much of the worry of the claim. Whilst I was alarmed at the Liquidator’s aggressive approach to the misfeasance claim against me, Suky was confident and they proved able to knock out a significant element of the claims against me.”
We Negotiate a Settlement Reducing the Claims by £200,000
“Their negotiating skills and legal knowledge ultimately resulted in them negotiating a settlement for me, where I paid £10,000 in full and final settlement of all claims against me of c.£210,000. The settlement was reached without my having to make any admissions of liability and to assist me further, Suky was able to negotiate an extended time to pay.
I am eternally grateful to Suky and Sukhbir for persevering with what others had told me was a hopeless case. I had never imagined that I would be able to avoid proceedings being issued against me and certainly that I would be able to draw a line under matters on such favourable terms. I would have no hesitation in recommending Sukhbir, Suky or the Team at Neil Davies & Partners to anyone who finds themselves in a similar position. The quality of service, knowledge and their expertise has been impressive and unwavering.”
Contact our Insolvency Litigation Solicitors if you are facing Misfeasance Claims
Our motto is that no hole is too deep for us not to be able to make a difference, as this testimonial shows. Click here to see some more testimonials for the work of our Insolvency Litigation Solicitors in the area of Misfeasance Claims. If you are facing such a claim from a liquidator, take a look at our 10 reasons why clients should use us when facing a misfeasance claim, and then contact us, or call us on 0121 200 7040 for a FREE initial discussion.