First published in the Solicitors Journal and reproduced with their permission. Jill Lorimer considers changes to the necessity of arrest, 17-year-olds in custody and police retention of data Defence practitioners have long struggled to persuade police officers that the “necessity” test for arrest in section 24(4) Police and Criminal Evidence Act 1984 (PACE) has not been met in circumstances where a suspect is able and willing to be interviewed under caution on a voluntary basis. On 12 November 2012, Code G to PACE was amended with the effect that it is now much more difficult for the police to justify…
First published in the Solicitors Journal and reproduced with their permission. Lawyers have a lot to consider when advising the company director asked to sign a guarantee, says Jonathan Silverman Solicitors can find themselves facing a difficult dilemma when advising companies and their directors if a situation arises when the business’s bank or landlord, a supplier or factor suddenly demand personal guarantees to support the company’s obligations. As a general rule the first step should be to explore with the clients any possibility of avoiding giving guarantees at all by looking for potential collateral within the business, such as a…
I run a building company and we recently took on an apprentice electrician. At first, this young man was doing quite well but it soon became clear that he had little or no interest in the work. Inevitably, he started to become more trouble than he was worth, and after about four months I told him it was not working. I have now received a letter from a solicitor saying that I didn’t fulfil my obligations to provide him with a good training, and threatening to take me to an employment tribunal. Can he do so? There are currently two…
I own a successful consultancy company and have decided to set up an office in China. I am sending a senior member of staff out to Beijing on a six-month secondment. Is he governed by UK employment law, or that of China? Are there any conditions I need to include in his contract? Most of what is required to set up an office in China is typically handled more cheaply and efficiently by outside advisers, not within your own company. You will only need to send a staff member to China on a few occasions, the number of which depends…
By Rodney Hylton-Potts. Intellectual property specialist lawyer. I have recently set up my own online shop and paid a substantial amount for a domain name. As my website gained more hits I noticed that another ecommerce company had bought some very similar domain names. Is this ecommerce company infringing my intellectual property rights? If the ecommerce company trades via the domain names it may infringe unregistered rights in the name you use for your domain, or (if you have one) a registered trade mark covering that name. Even if it is not trading via the domain names, you can bring…
By Rodney Hylton-Potts specialist insolvency lawyer My manufacturing company that is in serious financial difficulty. To avoid administration we have been advised to put together a restructuring proposal to our investors. There are concerns that the shareholders, who are already disgruntled, will not support it. Does the company have any legal power to compel the shareholders to agree to the proposal if it is in the company’s best interests? If not and they reject it, is administration our only option? Once a company is insolvent, the interests of creditors override those of shareholders who are generally slow to recognise the…
Rodney Hylton-Potts specialist commercial lawyer advises. I took out a loan for my company two years ago. The business has been repaying it since then, but I made underpayments. When I spoke to my bank about the underpayments I was told there was no problem and it even increased our overdraft limit. The bank has now informed me that it is calling in the loan and using a personal guarantee that would place me in a lot of difficulty. Where do I stand? This is sadly typical of many cases I see where banks, having the security of a personal…
My company has gone into administration. It looks as though we may have a buyer, on the condition that we cut several jobs. Is there anything I can do to ensure the process is as smooth as possible? Once your business enters administration, you hand control of the company to the administrators. You are obliged to co-operate fully with them to implement any changes made as a result of the restructure and potential transfer of the business. This process will be unsettling for your employees, particularly if jobs are at risk. You should ensure that staff are well-informed and their…
I manage a rental property company and am in the process of refinancing a portfolio of properties. The refinancing is now on hold pending a decision on whether a well-known high street store that has gone into administration will close the store which forms part of the portfolio. The refinancing is urgent because of the lender’s requirements and this delay will cause significant problems. What can I do? Take legal advice, establish contact with the administrator on a without-prejudice basis, keep an open dialogue with your lender and participate in creditor meetings. Establish whether the administrator wants to keep your…
My company took over a sublease last year with two years remaining. I am in dispute with the freeholder, who is asking for a huge sum for dilapidations – the previous tenant having left the premise. It seems obvious that the freeholder needs to resolve this with the leaseholder (my immediate landlord), but the leaseholder has gone bust. Am I liable? Property owners can bypass insolvent tenants and seek redress for disrepair against subtenants, but they can only adopt such an approach if, as a subtenant, you have given them an obligation to keep the property in repair. Otherwise, they…