Personal Insolvency

There has been a substantial rise in the number of personal insolvencies since 2005.

Our specialist Insolvency Team advises on corporate, business and personal insolvency. When advising a possible bankrupt, this will include advice on the consequences of bankruptcy and the possible alternatives to bankruptcy.

The Trustee in Bankruptcy has a duty to investigate past conduct and to seek to recover property that is or was once the bankrupt’s property. We regularly advise on issues related to applications for possession of the bankrupt’s home or other property and assets, recovery of gifts of money or property, transactions at an undervalue and payments to creditors in preference to creditors as a whole.

There is regularly an interplay between bankruptcy proceedings and the bankrupts’ business, and other family members’ financial affairs including in relation to past or current matrimonial or cohabitation proceedings, the administration of deceased’ estates, family trusts, investments and similar issues.

It is an unfortunate consequence of many corporate insolvencies that the proprietors also face the risk of personal bankruptcy arising from bank or trading guarantees and their financial relationship with the company. Many businesses still operate within an unlimited partnership and the impact of personal bankruptcy of one partner can have a substantial impact on other partners and expose them to a risk of bankruptcy also.

We act for individuals, lenders, other affected parties and Insolvency Practitioners as trustees in bankruptcy in appropriate cases.