House of Fraser concession partner Ehab Shouly is considering legal action against the companys administrator Ernst & Young (EY).
Shouly, owner and co-founder of The Tea Terrace, which operates three cafes within House of Fraser stores, claims he is owed over 300,000 from House of Fraser, equating to two months worth of sales.
He argues that EYs decision to classify that money as unsecured debt means Tea Terrace goes to the back of the line for any payouts that are made on behalf of House of Fraser.
Under the Insolvency Law, unsecured creditors are interpreted as creditors who do not have security for the debt (owed to them by the insolvent company).
While Tea Terrace sold directly to customers, House of Fraser kept t…
Read the full article at: https://www.retailgazette.co.uk/blog/2018/10/house-fraser-business-partner-threatens-legal-action-administrators-ey/
