HomeCase studiesSMEs, directors & shareholdersCommercial litigationSuccessfully defending three directors against director disqualification proceedings and stopping a claim from the liquidator

Why the client needed our help

We were instructed by three directors of a company which had been placed into liquidation.

The directors faced disqualification proceedings in respect of certain pre-insolvency transactions alongside a liquidator’s claim for recovery of monies drawn from the company pre-insolvency.

Our clients faced considerably difficulty arising from pre-insolvency transactions, the understanding of construction matters and the debtor status of sub-contractor retention claims and analysing such evidence out in Order to assist instructed Counsel and the Court.

How we helped

We advised the directors in detail, took their instruction to act on the director disqualification proceedings, and also acted for them in respect of the liquidator’s claims set out in correspondence.

The disqualification proceedings took place over a number of years resulting in a trial, and we case managed the proceedings, dealt with our clients’ evidence and involved Counsel to a detailed extent (together with input on accounting matters from our dual qualified accountant/lawyer in respect of understanding certain financial matters).

We also simultaneously wrote to the Liquidator (care of the solicitors) in respect of similar manners and defending our clients by way of correspondence.

The outcome

The disqualification claim ended at trial with the court finding that our clients had not been liable for misconduct and as such were successful in defending their position.

This judgment in the director disqualification claim led to a recovery of all of their legal costs due from our clients and was an extremely position outcome from the Directors point of view.

The Liquidator did not continue the claim for recovery against our clients and accordingly this was a complete success.

I was greatly impressed with FWJ. Their commercial approach combined with specialist knowledge and tactical expertise was pivotal in the claim being dropped and costs recovered in full.

A director we defended in disqualification proceedings

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Stephen Downie

Stephen Downie


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