# Competitor pretending to be a LTD company



## soma (12 Oct 2009)

We're a LTD company, public business premises plus decent eCommerce presence.

I've just realised that an online-only competitor of ours has been referring to themselves on their .IE domain as a company - and they're not - they're a sole trader. "Welcome to XYZ LTD", "We are a company that.." - that sort of thing.

We spend a not insignificant amount of money to ensure that the public can trust us and our products (industry & security seals, public & product liability insurance etc) so I'm understandly miffed at this.

My first thought is to ring up the CRO and inform them of this and insist that the references be removed. Is this the standard way forward or is there something else I should be doing? (The .IE Domain Registry?). Will the the CRO take my complaint seriously or just think its sour grapes? (surely pretending you are LTD is illegal?).

Any help/thoughts appreciated, Cheers.


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## patftrears (12 Oct 2009)

soma said:


> We're a LTD company, public business premises plus decent eCommerce presence.
> 
> I've just realised that an online-only competitor of ours has been referring to themselves on their .IE domain as a company - and they're not - they're a sole trader. "Welcome to XYZ LTD", "We are a company that.." - that sort of thing.
> 
> ...


Ring them up pretending to be a customer and grill them about being a limited company, see how they react.

You could try cro/odce they might send them a letter telling them to get registered.


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## Brendan Burgess (12 Oct 2009)

The main consequence of this is that if the business fails, the proprietors will be personally liable for all the debts. 

A supplier has less security with a limited company than with an individual. However, they might not see it as such.


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## mercman (12 Oct 2009)

There are many large companies trading as an Unlimited Company. Rxample, take Dunnes Stores. These are Unlimited but their competitors compete on a normal level playing field. As Brendan explained, if the company goes bust, the suppliers sue the shareholders for an unlimited amount. If Supermarket X Limited goes bust the suppliers are limited to theri Capital Base to sue for.


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## RonanC (12 Oct 2009)

It appears from the OP that this is a sole trader or similar passing themselves off as a Limited Company. In order to register a .ie domain they must have produced some sort of paperwork to obtain the domain. However this means nothing when it comes down to the status of the business itself. 

First of all you can use the CRO website to do a [broken link removed] of the name. Tick the "both" box and this will search for registered business names(sole traders, partnerships and body corporates and every also form of registered companies). 

The ODCE is the office that would deal with issues regarding a person or business passing themselves off as a Limited Company. It is a serious offence and it is more common that it seems.


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## nai (12 Oct 2009)

RonanC said:


> In order to register a .ie domain they must have produced some sort of paperwork to obtain the domain.



This isn't true - i registered a .ie domain last year simply by sending a signed fax into digiweb.ie stating that i was investigating a marketing idea and would like to market it under a particular brand name - had the domain name i requested within a day or so.


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## RonanC (12 Oct 2009)

@ nai, I wasnt aware of this. They're own [broken link removed](the list is pretty long) say that you are meant to supply proof of registration with CRO for the trading .ie domains


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## bond-007 (13 Oct 2009)

I agree, things have gone very lax in the last few years.


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## soma (13 Oct 2009)

Thanks but I'm well versed with the ins & outs of the CRO website - it was how I determined that this operation was not a LTD company, but a sole trader with a registered business name.

What's annoying me here is disclosure - if a customer is choosing b/t two identically priced products from two entities - I believe that one should not be allowed to masquerade as being equivalent in legal status to the other..?


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## bond-007 (13 Oct 2009)

Of course not. Report them to the ODCE.


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## billythefish (13 Oct 2009)

bond-007 said:


> Of course not. Report them to the ODCE.



I do just wonder why we're always so quick to stamp each others' faces in the mud...

They might just be ignorant their transgression. Why not phone them, tell them who you are and tell them your concerns? This would give them the chance to regularise themselves voluntarily. If they fail to, then, by all means, make a report.


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## 8till8 (13 Oct 2009)

OP: have a read of Consumer Protection Act 2007.


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## galwegian44 (13 Oct 2009)

That's really interesting Nai as I've just had tp pay to form a company to register the domain I wanted. My preference would have been to delay the company setup until I had done more research on my service but the hosting company required the CRO Company No. before they would set me up.

I guess some of the hosting companies are more lax than others.

All the best.



nai said:


> This isn't true - i registered a .ie domain last year simply by sending a signed fax into digiweb.ie stating that i was investigating a marketing idea and would like to market it under a particular brand name - had the domain name i requested within a day or so.


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## patftrears (13 Oct 2009)

galwegian44 said:


> That's really interesting Nai as I've just had tp pay to form a company to register the domain I wanted. My preference would have been to delay the company setup until I had done more research on my service but the hosting company required the CRO Company No. before they would set me up.
> 
> I guess some of the hosting companies are more lax than others.
> 
> All the best.


They have relaxed the rules now, but even before you didn't need to register a company, a registered business name would do. Cheaper to register than a company and none of the costs involved if you choose not to proceed whe venture.


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