Typo by UK Companies House causes a 124 year old business to collapse
The English High Court has found that the UK Companies House (equivalent to our Companies Office) is liable at common law for a clerical error which caused a company's insolvency. In this case, the Companies House wrongly listed Cardiff engineering firm Taylor & Sons Ltd as being in liquidation. The mistake was caused by a Companies House clerk who, against correct internal procedures, registered a winding up order without having the company registration number as a reference. Once on the website, the incorrect information was on-sold to credit reference agencies.
The Companies House amended the error on its website but found that it had no mechanism to recall the information that had been on-sold.
The case is a timely reminder to all businesses to check it carefully the accuracy of information before uploading to the internet where it can be viewed by the world.
The information in this article is for informative purposes only and should not be relied on as legal advice. Please contact Chapman Tripp for advice tailored to your situation.