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Is EB Acoustics a scam now?

If it's the same company rather a different one then no debts are cancelled and they're still on the hook to either deliver or refund.
 
Well when I spoke with Richard about it, he wanted to sell the rights and the legal right to use the register name and URL. Boils down to it not being an ongoing company so no need to fulfill orders. However it seems unlikely that gaining any new positive press would be difficult without doing that.
 
Not these days sir, that little loophole has been closed (and not before time).

If it's the same name and same registration then you can't walk away from the debt!

Note no son of Woolworths
no son of BHS
etc

Of course if its a slightly different name and new registration not so much.
 
Orange, I can't believe you thought he'd prefer a Dso over selling his brand outright. He obviously didn't care for his customers, if he did he'd have wound in up in a more timely fashion.
 
I just hope that the new owners will refund any outstanding debts to customers, or at the very least build the speakers & send them out.
A statement from the new owner would go a long way to calming any fears for future, potential customers.

When you have someone here claiming he has given up on the funds, it's quite a sad state of affairs IMO.
It's all fine & dandy receiving glowing reviews from Whathifi magazine but loyalty to someone who has sent hard earned funds, is far more important.
 
Not sure anyone will be rushing to buy these speakers with the bad rep , they will certainly need to have some built which you can buy from a retailer so at least you know you are actually getting the speakers
 
I see the new site is using a What HiFi video review to promote the speakers. This will be for the speakers made by the previous company though - which is more than a little cheeky if they do not intend to support that companies debts.
 
'Arcaydis Ltd' changed its name to 'Netherton 2016 Ltd' on July 11 2016. A new company 'Arcaydis Audio Ltd' was incorporated on (surprise) July 11 2016. Albeit not being a company law expert, this surprises me if there was an intent to meet the moral obligations of Arcaydis Ltd.

FWIW I think that the restriction on reusing the name or similar name is limited to directors of the insolvent company. So it doesn't appear to apply.

IMO this setup stinks. Perhaps the new operators can clarify.

Paul
 
Paul R said:
'Arcaydis Ltd' changed its name to 'Netherton 2016 Ltd' on July 11 2016. A new company 'Arcaydis Audio Ltd' was incorporated on (surprise) July 11 2016. Albeit not being a company law expert, this surprises me if there was an intent to meet the moral obligations of Arcaydis Ltd.

FWIW I think that the restriction on reusing the name or similar name is limited to directors of the insolvent company. So it doesn't appear to apply.

IMO this setup stinks. Perhaps the new operators can clarify.

Paul
Click to expand...
Even if you intended to fulfil the orders you would distance yourself from the previous company. Who knows what claims or liabilities could come out of the woodwork later on.
 
Their under no obligation to do anything for customers left hanging by the previous company, but it would be one he'll of a marketing piece. Thst would get you favourable coverage in every mag and website.
 
I will presume that the two brothers who bought the company haven't checked back in with this thread since posting, but regardless of any hard-lined legal obligation or loophole, they should simply address all customers with orders left hanging. In some way, whatever way that is, if for nothing else than to clean out the trash before starting anew. (not that the OP here is trash, but what he was left with, was).
 
have they bought it though, there's an entirely new company with a similar name. Maybe they just bought the design and name rights, not the liabilities..
 
It seems unlikely that the previous companies had any 'good will' of value. As you suggest, it seems likely they bought the name and design rights.

In the new companies descriptor of the new owners there is much made of their experience with customer relations - let us see how they deal with this hot potatoe. Merry Christmas all :).
 
There's some very muddled thinking here: someone who acquires an asset from an insolvent company has no obligation, moral or otherwise to its unsecured creditors. If the designs were only licensed to the company and were in fact sold by Richard Allen, then there is no connection at all and whether he uses that money for the benefit of creditors is entirely up to him. I wouldn't be holding my breath.

Obviously we all sympathise with the victims of fraud, but the loophole arises from the Companies Acts allowing a sole trader to limit his personal liability and leave all the business risk with his customers. To expect a third party to foot the bill is not only unfair but pure fantasy.
 
Suggesting or pointedly asking whether the new company is a scam is probably not a good idea, no matter how much sympathy I expect we all feel for those out of pocket. That was down to the previous owners.
 
I'm sorry, I don't entirely agree. If the company had said "we've bought the designs" and then incorporated those designs into a different company with a different set of offerings that happened to have the EB1 and EB2 in a back catalogue or something, fine. But that's not what this is.

Rules are rules and law is law, but common sense is common sense.

If you're buying the name "arcaydis" under which Richard ran the company, and coming onto forums and stating "the eb1 & eb2 are back in production" then regardless of legal binding requirements or whether or not this is technically 3442234 UK inc. or not operating under the name "Arcaydis", I don't give a f*ck, you should address this very obvious, very hanging issue not unlike a broken nose bleeding into a taped up rag on a first date.

I don't care what the solution is, how it's addressed. "Hey to everyone whose orders weren't fulfilled, we will give you 50% credit towards--" blah blah, or "will fully honour all deposits on file" or whatever. Something. Address it. Otherwise it's just stupid. If it was worth it to you to buy the name, and buy the models, and keep the model names, it's worth it to you to right the ship before sailing forward. Period.
 
It doesn't matter what the legal position is regarding their liabilities, we all know the new guys have no liability to previous Co's customers, if they want to stand a cat in hells chance of being successful they need to address them. Otherwise it will follow thrm like a bad smell through every forum and into every dealers.
 
If it's a startup, I doubt there is the money to pay back all the previous buyers, if they changed the name they would have to go through re establishing the brand, they are between a rock and a hard place as well, there us not exactly a lot of money to be made in hi-fi, I doubt they would survive by giving stuff away at the start, however much a nice thought it may be.
 
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