LONDON LAW FIRM HEALYS LLP SENDS SERIOUS WARNING TO THE CLASSIC AND COLLECTORS CAR WORLD

CLASSIC TORQUE

FROM CLASSIC CHATTER

LONDON LAW FIRM HEALYS LLP SENDS SERIOUS WARNING TO THE CLASSIC AND COLLECTORS CAR WORLD

More deliberation and responsibility needs to be brought to transactions by dealers, buyers and sellers in the classic car world, say London Solicitors Healys LLP. Following the distressing news which was announced yesterday of the appointment of administrators to the troubled historic car sales, restoration and preparation business JD Classics which had publically been perceived as a beacon in the sector.

Clive Robertson leader of the firm’s classic car group said: “The administrators, Alvarez & Marsal are reportedly hoping to find a buyer for the business. In the meanwhile, there will be considerable concern amongst a diverse group of parties who will be affected, including staff, investors, lenders, trading partners and not least, those with cars at the Mayfair and Maldon premises for sale or restoration.”

Clive expanded upon the issues faced by JD, and by extension their customers and suppliers: “There had been rumours of financial irregularity at the business which were apparently confirmed in March of this year when judgement in the case of Michael Tukes v JD Classics was given, there being several cases lodged by the same claimant still pending. It may be some time before the full picture emerges, so it could be premature to be seeking to know what lessons, if any, can be learnt, but it may be no more simple than saying, that in such a relatively new and fast-growing industry, balance and reason may have been left behind, so that more deliberation and responsibility needs to be brought to transactions by dealers, buyers and sellers.”

Clive concluded by re-stating that due diligence simply has to be the key in such high value and high profile activities: “There has probably not been a more important time to make use of skilled and established legal advice. You’d not buy a house without a conveyancing solicitor, so why spend, potentially, more money without similar professional advice and guidance?”