Cornish building firm John Nicholls Builders goes into administration

Cornish building firm John Nicholls Builders goes into administration

In January 2009 John Nicholls Builders went into administration. The business, based in Truro in Cornwall was established in 1962 and was a well know builder in the area.

It was responsible for many successful projects notably the Lostwithiel ‘Brunel Quays’ development.

All 80 employees were made redundant as the result of the administration.

The company blamed the recession and the cancellation of several contracts which they had expected to start.

An accountancy firm Mazars were appointed as the administrators.

What happened to their Clients ?

John Nicholls Builders was not some small one man band business. It employed over 80 people and was around for nearly 50 years.

If you were a Client and had contracted John Nicholls Builders to carry out construction works then you would be left with the following situation:

When you email the business, the email bounces back with a boiler template email saying the business was gone into administration.

Then you ring the business landline it goes to voicemail referring you to the administrators. When you call the Director’s mobile it goes to voicemail.

When you drive to the site, the gates will be locked and the site will be deserted. If you are lucky any uninstalled building materials will still be there. Otherwise the building might well be looted or even vandalised by angry subcontractors or suppliers.

When you contact the administrator they will inform you the business has gone into administration and they have to follow the process. At this moment in time they cannot help you apart from inviting you to a creditors meeting.

At the creditors meeting you will be told that there is no money to pay back any subcontractors or suppliers and therefore no hope that you will get any monies that you paid in good faith.