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Original poster

Legal case but company has gone into liquidation

9 replies

GalaxyAddict · 25/02/2026 19:53

Does anyone know what my chances are of getting my money back?
I brought a used car in Aug 25, by October the engine went & it will need a new engine. The car dealership would not take responsibility for it, so I had to hire a solicitor & go through the process of taking them to court.
My solicitor has been pretty useless tbh, I keep chasing, but rarely get any type of response.
The dealership emailed me last week to say they were going into liquidation & to arrange for my vehicle to be picked up, or it will be classed as an asset.
I know they have rebranded, possibly moved to a new location, however there is a new director, who was a sales person (none of the directors from the original dealership).
I am getting worried about if I will still be able to take them to court, or does it go through the liquidators. My vehicle is still there, it is not drivable, so I don’t know what will happen to that.
I also feel massively stressed with my solicitor who just ignores me & never gets back to me!

OP posts:
Hedgehogforshort · 25/02/2026 20:20

i assume you have checked Companies House.

As the company is now in liquidation you have no chance and would be best advised to retrieve your car.

You cannot sue them now, so you have no claim as a creditor.

prh47bridge · 26/02/2026 00:37

You need to pick up your car as soon as possible.

Whilst you could still sue the dealer, even if you win you would be an unsecured creditor. That means you would only be paid once all the secured creditors and preferential creditors have been paid. The chances are you will get nothing from them. However, if you paid any of the price using a credit card and the car cost between £100 and £30,000, you can make a claim against your credit card provider. They are jointly liable with the dealer, so you can make them pay for the repairs to your car even though the dealer has gone into liquidation.

JohnofWessex · 26/02/2026 13:50

Possibly the same if you paid by debit card as well

JohnofWessex · 26/02/2026 13:50

I assume it is not a franchised dealer?

prh47bridge · 26/02/2026 16:48

JohnofWessex · 26/02/2026 13:50

Possibly the same if you paid by debit card as well

Debit card payments do not have the same legal protection as credit cards. Most providers operate a chargeback scheme, allowing buyers to reclaim money for faulty goods but this is voluntary. If a credit card provider refuses to provide a refund for faulty goods you can take them to court. If a debit card provider refuses, taking them to court will get you nowhere.

SummerInSun · 26/02/2026 16:54

You can still sue companies in liquidation but your are just one of (likely many) unsecured creditors. You should put your claim in so that if there is any money when the company is wound up you get any share, but realistically your are unlikely to get much if anything. Really sorry OP, it sucks.

Kimura · 28/02/2026 08:44

As others have said, you can still sue, but you're almost certainly not going to see any money at the end of it. At best you're looking at pennies on the pound...it's unlikely to be worth the time, effort and expense.

Your priority now should be getting your car back. If the company are still contactable, arrange for them to release it to you ASAP and pay for a recovery service. You should also contact the liquidator and make every attempt to establish ownership, and that you don't owe them anything for repairs. You should do that regardless of how things go with the garage.

ProBonoPublico · 28/02/2026 22:54

"As others have said, you can still sue ..." No you can't. IF the company is in liquidation you need the permission of the court to sue them, and as you wouldn't be given permission there would be no point applying.

The first thing to establish is the exact status of the company. The mere fact they've said they're going into liquidation means nothing - they may just be saying it in order to persuade you to drop the case. If it has gone into liquidation then you'll be contacted by the liquidators themselves.

You say the case has already been to court, so what stage has it reached? Have you got judgment against them? If it's not yet got to a hearing then liquidation will automatically stop the case going any further.

And why have they got your car anyway? Have you formally `rejected' it, or are they simply holding it pending repairs?

You've got a solicitor so you need to push them into giving you proper advice, and if they don't then register a formal complaint with them.

Alpacajigsaw · 28/02/2026 22:56

prh47bridge · 26/02/2026 00:37

You need to pick up your car as soon as possible.

Whilst you could still sue the dealer, even if you win you would be an unsecured creditor. That means you would only be paid once all the secured creditors and preferential creditors have been paid. The chances are you will get nothing from them. However, if you paid any of the price using a credit card and the car cost between £100 and £30,000, you can make a claim against your credit card provider. They are jointly liable with the dealer, so you can make them pay for the repairs to your car even though the dealer has gone into liquidation.

This.

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