Following our summer 2025 update (read HERE), we are now starting to see a more concerted effort from American Express (‘AmEx’) and their chief representatives Brachers Solicitors (‘Brachers’) to recover sums from ex-directors personally in relation to business cards taken out prior to mid-2024.
This appears to be roughly coinciding with the implementation of an improved online signing process over the past 12 months.
There are still certain deficiencies as to wording with respect to the personal liability, but the use of a new external online signing process (provided they have used it in the correct fashion) means that a key element of unenforceability relating to agreements signed online before mid-2024, will not apply to agreements signed using their new process.
AmEx and Brachers appear to be wanting to draw a line under all the agreements prior to this date, with various matters being revisited through various means, including straight out discounted offers, reissuing letters before action, (or issuing for the first time in many cases), and by way of Part 36 offers. In all circumstances, there is typically a more favourable settlement to be obtained than the figures initially being offered, providing the contentious issues are dealt with appropriately.
Be warned, for the unwary Brachers on American Express’ behalf will have no hesitation in issuing County Court proceedings if the matter is not dealt with appropriately, and the costs of dealing with a court matter far exceed those incurred in dealing with the matter in a structured, commercial way.
Furthermore, a Part 36 offer is a court specific type of offer where, if it is rejected and American Express then proceed to court and win, has serious cost implications for the persons on the receiving end. Again, this can be resolved commercially without the need for an arduous court process.
In all instances where a County Court Judgement has not already been obtained, we can provide assistance to ensure you have the best possible outcome.
If you are being pursued by Brachers Solicitors personally with respect to a limited company business card, please CONTACT US as soon as possible.
