30 May 2008 10:01 AM:
Irwin Mitchell Abogados is a unique law firm, with offices in Marbella and Madrid. We are part of Irwin Mitchell Solicitors, one of the largest law firms in the UK and recent winners of ‘National Law Firm of the Year’ at the 2007 Lawyer Awards.
As promised we are now circulating a memo referring to the meeting we held on Sunday May 25th, in Birmingham with attendance of 70 people, representing a total of 120 affected persons.
For those who did not attend the meeting there is no problem as the situation remains the same; however matters have moved on since and we have fresh information as well as a plan forward.
Before we start categorising the different people you must all understand that at this stage all the contracts are still live and valid. There may well be the situation that people will need to continue with payments as and when the developer continues and finishing the buildings (see category 5).
It was decided that there will be several categories of people.
1. Creditors without bank guarantees (this is the largest group).
2. Creditors with bank guarantees.
3. Creditors who will be in a position to complete their existing transaction as the property is almost ready to be signed off.
4. Creditors who have no real hopes that their property will be built but wish to explore the possibility of switching to another property which could be on offer by the developer.
5. Creditors who wish us to attempt to have their deposit returned or obtain what can be refunded from the Administration process. This is not an automatic right but can only be done sometimes with the agreement of the Administrator and the judge.
We have already indicated in previous correspondence that no matter which group you find yourself in, in order to protect your situation you MUST communicate your credit to the Court.
Time limits
It is paramount that once the time limitation of one month starts, and you wish to instruct Irwin Mitchell Abogados, you must do so at the outset. It is likely to take a while until all the documentation is gathered and it will take several days for a power of attorney to be granted.
We would like to advise that Irwin Mitchell will not be responsible for not meeting the deadline in the case of any person instructing us without the proper documentation which could result in substantial delays or instructions coming quite late, although we will try to speed up matters before the expiry of the statutory month.
COURT PROCEEDINGS CURRENT SITUATION
We have received a copy of the judicial Order which declares SAN JOSE INVERSIONES Y PROYECTOS URBANÍSTICOS, S.A. in administration (“Concurso”).
The main points of this judicial Order are the following:
(i) SAN JOSE has been declared in administration (Concurso).
(ii) Three Trustees have been appointed (Mr. Pedro Algarra –an economist-, Mr. José Luis García-Cañada –a lawyer- and CAJA DE AHORROS DEL MEDITERRÁNEO –a Bank creditor-).
(iii) The company will be managed by the current Directors but under the supervision of the Trustees.
(iv) The Judge has ordered the publication of the judicial Order in the following media: a) BOE (official bulletin); b) LA VERDAD DE ALICANTE (a newspaper); and c) internet site (only referring to the Trustees´ designation).
(v) Furthermore the Order gives a time frame of 30 days to communicate the credits to the Court. This deadline must be calculated from the last of the publications.
So the time limit is imminent
We have received a copy of the judicial Order which declares HERRADA DEL TOLLO, S.L. (mainly Jumilla's developments) in administration (“Concurso”).
The main points of this judicial Order are the following:
(i) HERRADA DEL TOLLO, S.L. has been declared in administration (Concurso).
(ii) Three Trustees have been appointed (Mr. Jose Antonio Pascual –an economist-, Mr. Abraham Garcia –a lawyer- and CAJA DE AHORROS DEL MEDITERRÁNEO –a Bank creditor-).
(iii) The company will be managed by the current Directors but under the supervision of the Trustees.
(iv) The Judge has ordered the publication of the judicial Order in the following media: a) BOE (official bulletin); b) a local printed copy newspaper - unkown at this time; and c) site sanjosegrupo.
(v) Furthermore the Order gives a time frame of 1month to communicate the credits to the Court. This deadline must be calculated from the last of the publications.
GROUP CORRESPONDENCE
Despite our best endeavours to communicate with all of you it is not possible for the team here to work efficiently if we answer all your enquiries as and when they reach us.
We understand that you will have many individual queries as the situation progresses. We suggest, based on our previous experience of Group Actions, that any questions are sent to us by email by the 20th of each month. We will then send one group email replying to all queries received in such time frame. Please do not include specific questions in your emails when sending the requested documentation; we would ask that your questions are sent separately unless of course they relate to the documentation you are sending us.
It is also clear that individual groups may have different interests or progress differently so these will be notified as and when action is required without having to wait for the monthly bulletin.
POSSIBLE FUTURE CONFLICT OF INTEREST
Irwin Mitchell can anticipate a situation of conflict which may arise during the proceedings with its own clients. Although unlikely, where there is more than one client involved such situation can arise and we would like to deal with this at the outset so there are no potential future misunderstandings.
Different scenarios may occur during these proceedings. It is difficult to anticipate them but the most obvious one is for those who are still in the Concurso (in other words who have not had their property signed up before the stage of the Convenio or Liquidation) when we reach the stage of the Convenio and a proposal is made which may not be acceptable to everybody then we may find that one group of people wishes to object to the proposal and another is in agreement. Many of you on Sunday suggested that this is unlikely as if a valid proposal is put forward and accepted by the majority then it is almost certain that the people who were against it will align with the majority. Nevertheless it is important to anticipate this as some people may find that the proposal for agreement may totally prejudice their position.
At that stage we will only be able to continue acting for one group. We can only do so with the agreement of everyone. So in order not to have to ask each individual at the time we will be asking the clients who wish to instruct us from the outset that they give us authority to decline or to act for the group we will be choosing at the time to continue to act. We will be acting for the group which represents the highest financial interest already disbursed.
In the case that this group is formed and decides that they wish to vote against the majority or against a proposal which is likely to succeed, then there will be a period of time for the people who disagree to change lawyers and Irwin Mitchell will try their best to assist them to find another suitable lawyer.
We look forward to hearing from you.
This message was last edited by Irwin Mitchell on 5/30/2008.
This message was last edited by Irwin Mitchell on 5/30/2008.
Time limit is imminent.
This message was last edited by Irwin Mitchell on 5/30/2008.This message was last edited by Irwin Mitchell on 5/30/2008.
Thread:
San Jose into liquidation.
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