Bankruptcy—The Ultimate Solution to Debt Problems
In recent times there has been much publicity and discussion around bankruptcy and the suggestion that an individual should be discharged from bankruptcy after one year. By virtue of the Bankruptcy Act of 1988 and the Personal Insolvency Act 2012, many changes have been made to the law on bankruptcy. There is no doubt that […]
Debt Resolution; About to become a Reality?
In a previous article one of my colleagues discussed the options proposed under the recently published Personal Insolvency Legislation. This was the proposal for the Debt Relief Certificate for unsecured debt under €20,000. There are two other relevant options for both secured and unsecured debt in this proposed legislation. The first of these is a […]
Directors of Insolvent Companies – Beware!
Directors owe a number of statutory and fiduciary duties to the company. However, once a company is insolvent, the interests of creditors intrude and directors owe a duty to act in good faith, and show skill, care and diligence to all creditors. Desperate economic conditions have led to an influx of insolvent companies undergoing liquidation […]
Debt Relief Certificate – is it for you?
The short answer to the question posed in the title is it would be very difficult for a person to get debt relief unless they can comply with extremely strict criteria that are set out in the new Personal Insolvency Bill. The reason for the strict criteria is that the Act, when passed, will have […]
Where do employees’ pay related claims lie on their employer’s insolvency?
One would expect that employers should, from a moral perspective, firstly look after employees in the event of insolvency as employees are usually wholly financially dependent on their employers. That is not the case. Bankruptcy and company legislation do give preferential status to certain employee claims in the distribution of the assets of the insolvent […]
Creditors’ Meeting – Should I stay or should I go?
As more and more companies succumb to insolvency, many business suppliers are receiving invitations to creditors’ meetings. When an insolvent company decides to wind up voluntarily, a notice will be sent to all creditors together with a general/special proxy form to commence the liquidation process. The notice will also be advertised in local newspapers. The […]
Are you a Director of a company going into Liquidation?
If so, you need to proceed with caution. There are many rules governing the liquidation process. Firstly, you should first speak with fellow directors and seek professional advice. Resignation may be an option but your primary responsibility is to protect the company creditors. You may remain personally liable even if you were to resign. In […]