• Link to LinkedIn
  • Link to Facebook
  • Link to Mail
Central London 020 7112 8841 | Finchley 020 8446 6223 | Hatfield 01707 830 244
Simons Rodkin Solicitors LLP
  • Home
  • Legal Services
    • Bankruptcy Solicitors
      • Bankruptcy Annulment
    • Building and Construction Disputes
    • Business Leases and Commercial Property Law
    • Business Services
    • Civil Litigation
    • Company Commercial Law
    • Conveyancing
    • Court Representation
    • Co-ownership and Cohabitation Disputes
    • Debt Collection and Contractual Disputes
    • Employment and Discrimination Law
    • Employment Law Settlement Agreements
    • Entertainment and Music Lawyers
      • Simons Rodkin Music Solicitors
    • Family Law
      • Divorce Lawyers
    • Houses in Multiple Occupation (HMO)
    • Immigration Appeals
    • Immigration Solicitors
    • Insolvency Solicitors
      • The Defence of Insolvency Based Claims
    • Landlord and Tenant
    • Nationality and Ancestry Applications
    • Neighbour and Boundary Dispute Solicitors
    • Personal Injury Lawyers
    • Personal Insolvency Solicitors
    • Powers of Attorney
    • Professional Negligence
    • Property Law
    • Property Litigation
    • Remortgages and Personal Guarantees
    • Residential Landlord and Tenant Solicitors
    • Statutory Demand Solicitors
    • Wills, Probate, Trusts
  • Team
    • Simon Aaron
    • Michael Abraham
    • Simon Cooper
    • Mark Feldmann
    • Julian Cohen
    • Munira Javed Abib
    • Georgina Tsagas
    • Jagdeep Kaur Deo
    • Kevin Harris
    • David A. Nash
  • Fee Structure
  • Articles
  • Areas
  • Testimonials
  • Contact
    • Finchley Office
    • Bloomsbury Office
    • Hatfield Office
  • Menu Menu

Insolvency Solicitors London and Hertfordshire

The defence of insolvency proceedings or insolvency claims consists of a key area of our legal work.

We do not generally act for Trustees in Bankruptcy or Liquidators, and so no conflict of interest arises in relation to our work.

We typically act for clients in the defence of statutory demands or Insolvency Petitions and also with claims raised by Trustees in bankruptcy and/or by a Liquidator of a Company.

The defence of insolvency proceedings or insolvency claims consists of a key area of our legal work. We do not generally act for Trustees in Bankruptcy or Liquidators, and so no conflict of interest arises in relation to our work. We typically act for clients in the defence of statutory demands or Insolvency Petitions and also with claims raised by Trustees in bankruptcy and/or by a Liquidator of a Company. Please contact Michael Abraham, partner on 0208 446 6223 or michael.abraham@sr-law.co.uk or Zsofia Szoke zsofia.szoke@sr-law.co.ukto discuss any insolvency issue.

Insolvency Work

The field of insolvency work is very wide ranging and we set out below examples of work which we carry out within this field:

  1. The defence of the family home following the bankruptcy of an owner or joint owner of the property. We regularly receive instructions concerning this scenario. There are two ways of saving the family home. The first is for the bankruptcy to be annulled or set aside. This is usually on the basis that the debts and expenses of the bankruptcy are paid in full. The second is by acquiring (at an agreed price which is as low as possible) the interest of a Trustee in the property.The cheapest route forward will obviously be pursued.We can introduce our clients to specialist brokers – who are independent of this firm, who can advise and introduce sources of specialist insolvency finance.Insolvency finance is usually bridging finance from specialist lenders of a short-term nature. There is an arrangement fee (typically in the region of £5000), and interest is rolled up over the length of the agreement (typically for six or twelve months). During this period either the monies (and accrued interest) are re-financed at normal commercial rates or the property is sold.The sale of the property by a Trustee in bankruptcy is usually a financially poor result. The reason for this is as follows: -(i) A Trustee in bankruptcy would sell the property by way of a forced sale. This is usually based upon a 90-day sale rather than the sale of a property by an owner/occupier and which would extend over a longer period of time if no satisfactory offers are received.(ii) The net proceeds of the sale will need to be paid into the Bank of England Insolvency Services Account by a Trustee in bankruptcy. This is subject to a deduction of a negative tax of circa 15%. This tax is used to run the Insolvency Service. So accordingly, 15% of the net proceeds of the sale of a property by a trustee in bankruptcy will be lost in tax.(iii) The relatively high costs of the Trustee in bankruptcy and his Solicitors. We have seen costs relating to possession and sale of the property of a Trustee to be in the region of £40,000 or more and the trustee’s Solicitors costs in excess of £20,000. (it is possible to challenge such costs and expenses in the Court) High fees can be hopefully avoided by annulling the bankruptcy or buying the interest of the Trustee at a relatively early stage. Indeed at the very beginning of the insolvency process, the Official Receiver is the first Trustee in bankruptcy and it is always favourable to try to annul the bankruptcy without the appointment of a private Trustee which would mean that only relatively modest Official Receiver’s costs (general fee of currently £6000) will need to be paid and not a very much higher cost charged by a private Trustee in bankruptcy. We always ask the Official Receiver not to appoint a private trustee where an early application to annul or set aside the bankruptcy order is to be made.
  2. The defence of claims by insolvency officeholders (a Trustee in bankruptcy or Liquidator) for repayments of monies paid as being in preferences or at an undervalue. These are claims with technical requirements/defences, and typically we use Insolvency Specialist Counsel to assist in the defence of these claims. It is not unusual for claims to be for relatively large sums of money.
  3. The defence of a claim by a Liquidator for repayment of monies drawn out of the business by a Director. It is necessary with such a claim for a Director to justify each and every drawing in particular whether it is for an agreed salary, lawfully declared dividend, repayment of expenses personally incurred on behalf of the business or to pay creditors.
  4. We represent clients in relation to proposed income payment agreements/Order applications and other claims made by a Trustee in bankruptcy.

To contact us, please telephone (0208 446 6223) for an initial discussion. Alternatively, please send an email to enquiries@sr-law.co.uk or Michael Abraham, partner.

Contact Simons Rodkin Solicitors LLP

Contact Us

Finchley Office

212 Regents Park Road Finchley
London N3 3HP
Tel: 020 8446 6223
Email: enquiries@sr-law.co.uk

Bloomsbury Office

32 Bloomsbury Street
London WC1B 3QJ
Tel: 020 7112 8841
Email: enquiries@sr-law.co.uk

Hatfield Office

82 Great North Road
Hatfield AL9 5BL
Tel: 01707 830 244
Email: enquiries@sr-law.co.uk

© Copyright 2024 - Simons Rodkin Solicitors LLP | Cookie Policy | Privacy Notice | Complaints Procedure | Site Map
Scroll to top Scroll to top Scroll to top
error: Content is protected !!
Manage Consent
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
Functional Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
Manage options Manage services Manage {vendor_count} vendors Read more about these purposes
View preferences
{title} {title} {title}