What type of agreements are we talking about?

• Integration:
  • Is the individual held out as being employed by the business by having a company email address, uniform, how would they introduce themselves to customers?
• Exclusivity:
  • Is the contractor restricted from working for other organisations without the consent of the end user client?
• Length of engagement:
  • Is the contractor engaged to work on a specific project for a defined period? Or are they engaged for an indefinite period with no reference to a specific task or project?
• Pay:
  • Are there regular fixed payments or is payment on completion of specific task or commission based? Is the contractor entitled to benefits or bonuses?
• Facilities:
  • Does the contractor provide their own equipment and materials to provide the services?
• Financial risk:
  • Is the contractor personally responsible for any loss arising from their work in performing the services? Will they have to rectify unsatisfactory work at their own time and expense? Will they have the opportunity to profit from the success of a project?

The guidance has confirmed that all remaining employment rights and terms continue while an employee is furloughed. Holiday will continue to accrue during furlough however you may reach agreement with employees on reducing entitlement provided that it does not fall below the statutory minimum of 5.6 weeks per year.

We are working with many of our clients to progress with stopping up applications in order to divert/stop up highways and public rights of way affecting development sites. Due to lockdown restrictions the Department for Transport stalled the progress of applications because they were unable to comply with the statutory publicity requirements. We have very recently been contacted by the Department for Transport casework team who have confirmed that the stopping up/diversion applications can now be progressed. We are aware that Councils across the country are also now progressing with applications. Please contact us if you require any advice/assistance in respect of your application.

• A taxable grant worth 80% of the average monthly profit over the last three years (one or two years will be reviewed for those who do not have three years of tax returns)
• The grant will be capped at £2,500 per month
• The scheme was initially available for three months and has been extended as necessary
• Individuals claiming a grant can continue to do business (unlike employees who must not work when furloughed)

If the debts owed to you pre-date Covid-19 and your debtor seemed unable to pay well before the Covid-19 pandemic took place, it is entirely possible that you will be able to present a petition on the grounds that the debtor would have been unable to pay its debts even if the Covid-19 had no effect on its financial position. We do not yet have any reliable precedent as to how the Courts are likely to deal with such cases.  Whether you are likely to succeed will depend on the exact circumstances of the debt and your debtor. There has been one case decided in August 2020 where the Court concluded that Covid-19 did not have a financial effect upon the debtor and that the circumstances which gave rise to the petition had arisen long before Covid and would have occurred in any event.  A winding up order was made in that case.  What we do know about the court’s approach is that the purpose of the Act is to allow viable companies to trade through the current times and the Court is likely to set the bar high.

Please contact us if there a debt you would like to discuss. Even if presenting a winding up petition is not available for now, there may still be other forms of legal proceedings that you can use to collect money owed to you, like county court proceedings.