Customer in administration, unpaid invoices
Discussion
Hi,
A customer of mine has gone into administration.
I installed some equipment for them just before Christmas. Total of £1500 (inc vat)
Can I go and get it back? They havn't paid so its not theirs to sell on is it?.
Never been in this situation before so i'm unsure how this will pan out
Thanks.
A customer of mine has gone into administration.
I installed some equipment for them just before Christmas. Total of £1500 (inc vat)
Can I go and get it back? They havn't paid so its not theirs to sell on is it?.
Never been in this situation before so i'm unsure how this will pan out
Thanks.
Be aware that you are not legally allowed to remove your goods without the consent of the Administrator or court.
The Administrator will likely challenge the validity of your retention of title clause e.g.
Can you identify your equipment? Is the equipment now incorporated into some larger product? Was your retention of title clause agreed upfront in terms of business or on a quote or did you just print it on your invoice?
The Administrator will likely challenge the validity of your retention of title clause e.g.
Can you identify your equipment? Is the equipment now incorporated into some larger product? Was your retention of title clause agreed upfront in terms of business or on a quote or did you just print it on your invoice?
Dave - there are a number of factors that have to be taken into account here - not just the validity of your RoT clause (normally very poorly written) but also whether your goods have been incorporated, can they be separately identifiable and has the customer already sold them on.
1st thing to do, as soon as you possibly can, is to arrange with the administrator to get round to the customer site, identify the goods you consider to be yours, and agree with the administrator that they at least exist. This will draw a line in the sand so that you're just arguing validity of claim. Without verifying their existence you're really on a hiding to nothing.
1st thing to do, as soon as you possibly can, is to arrange with the administrator to get round to the customer site, identify the goods you consider to be yours, and agree with the administrator that they at least exist. This will draw a line in the sand so that you're just arguing validity of claim. Without verifying their existence you're really on a hiding to nothing.
I had a similar problem with a hotel chain around 4 years ago. The administrators E&Y), were very professional, and adamant that I wasn't going to get the goods back. I was an absolute pain in the arse, and eventually they paid about 75% of the outstanding invoice value. I think it was to stop me bothering them any more.
Edited by s2sol on Friday 15th January 13:18
You say installed... This could be key.
We install air conditioning systems and despite our T&C's retention clauses being watertight the fact that the units are usually fixed to the building means you've got no chance of enforcing the clause.
We've never successfully got any equipment back using our T&C's in the above scenario legitimately.
My, unofficial, advice would be to go and remove it by whatever means sooner rather than later!
If, on the other hand, you haven't fixed anything to the building you'll need proof that you "fired the last shot" with paperwork. I.e. once you received their purchase oder you sent them an order acknowledgement stating that your T&C's apply - thus over-riding theirs.
Its a minefield buy you'll never get anything back by playing by the rules!
HTH!
We install air conditioning systems and despite our T&C's retention clauses being watertight the fact that the units are usually fixed to the building means you've got no chance of enforcing the clause.
We've never successfully got any equipment back using our T&C's in the above scenario legitimately.
My, unofficial, advice would be to go and remove it by whatever means sooner rather than later!
If, on the other hand, you haven't fixed anything to the building you'll need proof that you "fired the last shot" with paperwork. I.e. once you received their purchase oder you sent them an order acknowledgement stating that your T&C's apply - thus over-riding theirs.
Its a minefield buy you'll never get anything back by playing by the rules!
HTH!
hunton69 said:
WinstonWolf said:
Possession is 9/10ths of the law. If it was me I'd go and get it and ask for a payment receipt should the receivers try to claim it.
A very reputable accountant I know said the same. I've done similar many times & never had any comeback. Worse case is you might finish up where you are now.
RJD - keep trying if it happens again - RoT where goods have been installed but can be removed without damaging other property has been strengthened.
OP - have you had any success yet? Who are the administrators & are they dealing with this themselves or appointed someone to do so on their behalf?
OP - have you had any success yet? Who are the administrators & are they dealing with this themselves or appointed someone to do so on their behalf?
speedyguy said:
mondeoman said:
cptsideways said:
Go & get it, little comeback in reality & get it asap
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