Solicitor for Bankruptcy and Insolvency Law in Dublin

Lawyer for Bankruptcy and Insolvency Law in Dublin Found 10516

Bankruptcy and Insolvency Law in Ireland: Navigating Financial Distress

Bankruptcy and insolvency law are critical legal frameworks that help individuals and businesses addre...

Bankruptcy and Insolvency Law in Ireland: Navigating Financial Distress

Bankruptcy and insolvency law are critical legal frameworks that help individuals and businesses address situations where they are unable to meet their financial obligations. Whether you’re an individual facing personal financial difficulties or a business struggling with debt, understanding bankruptcy and insolvency law is essential to finding the right legal solution. If you’re based in Dublin or anywhere else in Ireland, consulting a solicitor who specialises in this area can provide you with the guidance needed to make informed decisions and navigate the complexities of insolvency procedures.

What Is Bankruptcy and Insolvency Law?

Bankruptcy and insolvency law governs the legal processes by which individuals and businesses who are unable to pay their debts can seek relief. The law provides mechanisms for restructuring debt, liquidating assets, and distributing the proceeds to creditors. It offers individuals and businesses a chance to make a fresh start while ensuring that creditors receive fair treatment.

In Ireland, bankruptcy is primarily governed by the Personal Insolvency Act 2012, which provides a legal framework for individuals to deal with excessive debt. For businesses, insolvency law is governed by the Companies Act 2014, which covers company liquidation, receivership, and examinership. Whether you are an individual or a business entity, a solicitor specialising in bankruptcy and insolvency law can help you navigate these procedures and ensure that you comply with all relevant regulations.

Key Aspects of Bankruptcy and Insolvency Law

  1. Personal Bankruptcy
    Personal bankruptcy in Ireland is a legal process where an individual who cannot pay their debts can have their liabilities reduced or eliminated. The process typically involves the appointment of an Official Assignee, who is responsible for overseeing the sale of the individual’s assets to repay creditors. Bankruptcy in Ireland typically lasts for a period of one year, but it can be extended depending on the individual’s circumstances.

The Personal Insolvency Act also allows individuals to enter into a Debt Settlement Arrangement (DSA) or Personal Insolvency Arrangement (PIA), which enables them to restructure their debts and avoid full bankruptcy. These processes allow individuals to make reduced payments over a fixed period while preserving certain assets like their home.

  1. Business Insolvency
    Business insolvency can take several forms, depending on the type of company and its financial situation. There are three main processes available under Irish law for businesses facing insolvency:

    • Liquidation: This is the most common process for businesses that are insolvent and cannot continue trading. In liquidation, the company’s assets are sold to repay creditors. If the assets are insufficient to pay all debts, creditors may not receive full repayment.
    • Receivership: In cases where a company owes money to a secured creditor (such as a bank), that creditor can appoint a receiver to take control of the company’s assets and attempt to recover the debt.
    • Examinership: This process allows a company to continue trading while attempting to reach an agreement with creditors to restructure its debts. Examinership is typically used by businesses that believe they can become solvent again with financial restructuring.
  2. Insolvency for Partnerships
    Insolvency laws also apply to partnerships, though they are slightly different from those for corporations or individuals. Partnerships can enter into an agreement to restructure their debts, similar to a company going into examinership. The key difference lies in the liability of the partners: in most cases, partners are personally liable for the debts of the partnership.
  3. Creditor Rights and Protection
    In the context of bankruptcy and insolvency, creditor rights are central to the process. Creditors are typically divided into secured and unsecured creditors, with secured creditors having a higher priority in the repayment process. Insolvency law ensures that creditors receive fair treatment and that the legal procedures are followed to recover as much debt as possible from the bankrupt individual or company.

However, while creditors are given priority in repayment, the law also provides mechanisms to ensure that individuals and businesses are not unduly penalised. For example, personal bankruptcy allows for certain exemptions from asset seizure, such as the family home, depending on specific circumstances.

  1. Corporate Rescue and Restructuring
    In some cases, businesses facing financial difficulties may not need to resort to liquidation or receivership. Examinership is a legal process available to companies that are facing temporary financial issues and are still capable of being profitable. Under examinership, the company is given temporary protection from its creditors to allow it to attempt restructuring its business and financial affairs. This protection typically lasts for 70 to 100 days and can be extended if necessary.

When is it Necessary to Consult a Solicitor for Bankruptcy and Insolvency Law?

Understanding when to seek legal advice is crucial for anyone facing financial difficulties. Whether you are an individual struggling with debt or a business dealing with insolvency, consulting a solicitor can help ensure that you are aware of your legal rights and obligations. Here are some common situations where legal assistance is essential:

  • Personal Bankruptcy: If you are unable to meet your personal financial obligations and are considering bankruptcy or a personal insolvency arrangement, consulting a solicitor is important to ensure you understand the legal consequences and explore the best available options.
  • Business Insolvency: If your business is struggling with debt, a solicitor specialising in business insolvency can advise on whether liquidation, receivership, or examinership is the most appropriate course of action.
  • Negotiating with Creditors: If you are facing aggressive creditor actions or are unsure how to negotiate with creditors, a solicitor can help you explore options such as a Debt Settlement Arrangement (DSA) or Personal Insolvency Arrangement (PIA).
  • Cross-Border Insolvency: If your business or personal financial situation involves international elements, such as creditors in other jurisdictions, you will need a solicitor who understands the complexities of cross-border insolvency law.
  • Protecting Assets: A solicitor can advise on how to protect your assets, such as your home or business, from being seized in bankruptcy or insolvency proceedings.

Why is Bankruptcy and Insolvency Law Important?

Bankruptcy and insolvency law serve several key purposes:

  1. Financial Relief: For individuals and businesses facing overwhelming debt, bankruptcy and insolvency law provides a path to relief. It offers a chance to start over, either through debt restructuring or the discharge of liabilities.
  2. Fairness and Transparency: Bankruptcy and insolvency procedures ensure that the process is fair to both debtors and creditors. The law ensures that creditors are repaid as much as possible, while debtors are given a clear process to resolve their financial troubles.
  3. Economic Stability: By allowing businesses and individuals to recover from financial setbacks, bankruptcy and insolvency law helps maintain economic stability and encourages a healthy economy by ensuring businesses can be restructured or liquidated efficiently.

Conclusion

Bankruptcy and insolvency law is essential in Ireland to help individuals and businesses overcome financial distress. If you find yourself or your business in financial difficulty, it’s vital to consult a solicitor who specialises in bankruptcy and insolvency law to understand your rights, the legal processes involved, and the best path forward. Whether you are facing personal bankruptcy, business insolvency, or dealing with creditor disputes, expert legal advice can help you navigate these challenges effectively and make informed decisions. If you are in Dublin or anywhere in Ireland, seeking legal assistance can provide you with the support needed during financially challenging times.

About Rachel

Rachel is a Partner in our Real Estate team and leads our specialised Residential Team. Our Residential Team works collaboratively and efficiently to manage the complex process for bulk residential sales and acquisitions.

Rachel has particular experience acting for dev...

About Rachel

Rachel is a Partner in our Real Estate team and leads our specialised Residential Team. Our Residential Team works collaboratively and efficiently to manage the complex process for bulk residential sales and acquisitions.

Rachel has particular experience acting for developers, approved housing bodies, financial institutions, receivers and private equity funds in sales and acquisitions, where her practical experience makes a valuable contribution to the business of her clients. In addition, Rachel has significant experience in advising on new developments and unfinished developments as well as establishing management structures.

Rachel is known for providing advise that is both clear and concise and for understanding the importance of good client relations.

rcarney@mhc.ie
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About Gearoid

Gearóid is a partner in our Dispute Resolution team. He specialises in commercial litigation, with a particular emphasis on contractual and technology disputes.

He has extensive experience in a wide range of commercial litigation matters across a range of industry se...

About Gearoid

Gearóid is a partner in our Dispute Resolution team. He specialises in commercial litigation, with a particular emphasis on contractual and technology disputes.

He has extensive experience in a wide range of commercial litigation matters across a range of industry sectors and has particular experience in disputes concerning breach of warranty claims, as well as advising as to shareholder disputes, the termination of contracts and jurisdictional issues in respect of transnational litigation. He has acted and advised on numerous aviation matters, and also has regulatory experience, particularly in the telecommunications sector.

Gearoid has substantial experience in multi-party matters involving expedited case management in the Commercial Court and advises in respect of all aspects of the litigation process. He also has practical experience of other means of dispute resolution, including mediations and expert determinations, as well as particular experience in arbitrations, both domestic and international.

gcarey@mhc.ie
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About Niamh

Niamh is a Partner in our Corporate team, where she leads the Charity Law and Not-for-Profit practice. in addition, Niamh is our Charity and Not-for-Profit sector lead. Known for providing practical legal advice, Niamh specialises in solving corporate, restructuring and compli...

About Niamh

Niamh is a Partner in our Corporate team, where she leads the Charity Law and Not-for-Profit practice. in addition, Niamh is our Charity and Not-for-Profit sector lead. Known for providing practical legal advice, Niamh specialises in solving corporate, restructuring and compliance issue for those in the charity sector.

As well as advising on the full range of activities carried out by charities and social enterprises, Niamh’s areas of focus include establishing new and update existing legal and constitutional structures for clients.

Niamh helps her clients on their compliance with the Charities Act 2009.

ncallaghan@mhc.ie
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About Neil

Neil is a partner and Head of our Financial Services team. He advises on all aspects of banking and financial services law and is renowned for his work on high profile loan portfolio sales in Ireland.

Neil advises financial institutions and private equity funds ...

About Neil

Neil is a partner and Head of our Financial Services team. He advises on all aspects of banking and financial services law and is renowned for his work on high profile loan portfolio sales in Ireland.

Neil advises financial institutions and private equity funds on a range of matters from acquisition finance to corporate restructuring.

He has led on a number of significant loan portfolio disposals and acquisitions over the last number of years. He acts for domestic institutions on their deleveraging programmes and advises private equity funds in their acquisition and financing of distressed debt. Neil also has a strong finance practice, focused on real estate and leverage finance.

Neil is consistently recognised as a standout lawyer in the market for his knowledge and efficiency.

ncampbell@mhc.ie
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About Niamh

Niamh is a Partner and Co-Head of our Tax team who advises Irish and international clients on tax law and tax planning in the context of mergers and acquisitions, restructurings, joint ventures and investments. She has extensive experience spanning several sectors including fi...

About Niamh

Niamh is a Partner and Co-Head of our Tax team who advises Irish and international clients on tax law and tax planning in the context of mergers and acquisitions, restructurings, joint ventures and investments. She has extensive experience spanning several sectors including financial services, technology, life sciences, energy and real estate. Clients know Niamh for her concise and practical legal advice.

Niamh has a particular focus on advising financial institutions, lenders, assets managers and investors on tax matters relevant to financing and financial services tax. This includes advising on Irish withholding tax on interest, double tax treaty relief, availing of the 12.5% trading rate and availing of the special tax regime for investment funds and structured finance / securitisation transactions.

ncaffrey@mhc.ie
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About Vanessa

Vanessa is co-head of our Real Estate team. She advises on all aspects of commercial property and specialises in energy infrastructure and buying and selling trading assets in sectors including hotels and healthcare.

Vanessa has extensive landlord and tenant expertis...

About Vanessa

Vanessa is co-head of our Real Estate team. She advises on all aspects of commercial property and specialises in energy infrastructure and buying and selling trading assets in sectors including hotels and healthcare.

Vanessa has extensive landlord and tenant expertise and regularly negotiates complex lease agreements. She acts for financial institutions on the sale and purchase of property backed loan portfolios. Vanessa is particularly skilled at running large scale transactions and the associated legal project management.

Known for her composure and commerciality, she has deep experience working with international organisations as their trusted advisor in Ireland. Her practical approach to resolving issues is noted by her clients and always instils confidence when working with stakeholders.

vbyrne@mhc.ie
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About Janet

Janet is a Partner on our Real Estate team. She acts for investors, developers, financial institutions and receivers in the acquisition, disposal, and leasing of commercial, residential, and mixed-use real estate assets.

Janet is particularly skilled in managing large s...

About Janet

Janet is a Partner on our Real Estate team. She acts for investors, developers, financial institutions and receivers in the acquisition, disposal, and leasing of commercial, residential, and mixed-use real estate assets.

Janet is particularly skilled in managing large scale property transactions in an efficient manner. She has an acute understanding of her client’s needs and wants. Janet has a unique ability to guide her clients through demanding deals, understanding their needs and wants while also advising them on key risks and considerations in a balanced manner. Janet guides her clients through the full life cycle of their investments seamlessly.

Janet regularly advises some of the most prominent players in the Irish property market across all aspects of their portfolios from acquisition, leasing and financing to day-to-day asset management.

Janet has a speciality in the private rental sector, multi-family developments and portfolio sales and acquisitions.

jcafferky@mhc.ie
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About Alan

Alan is a Partner in our Financial Services team.

Having joined the firm in 2017 after ten years with another leading commercial law firm, Alan has advised domestic and international lenders and borrowers in a wide-ranging finance law practice, with a particular fo...

About Alan

Alan is a Partner in our Financial Services team.

Having joined the firm in 2017 after ten years with another leading commercial law firm, Alan has advised domestic and international lenders and borrowers in a wide-ranging finance law practice, with a particular focus on corporate finance and development finance. He has also gained significant experience in transactions involving the pharmaceutical, financial services, construction, agri-food, technology, aviation, motor and other sectors.

Alan has frequently advised on matters involving alternative lending structures, such those involving investment funds and those involving loan origination SPVs, as well as acting for liquidators in court-supervised corporate insolvencies.

aburns@MHC.ie
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About Sonya

Sonya is a Partner is our Health & Prosecutions team and has been with the firm for over 10 years. During that time, Sonya has developed particular experience in child protection law, acting for a number of public bodies including TUSLA and HSE at District, Circuit and High Co...

About Sonya

Sonya is a Partner is our Health & Prosecutions team and has been with the firm for over 10 years. During that time, Sonya has developed particular experience in child protection law, acting for a number of public bodies including TUSLA and HSE at District, Circuit and High Court level. Sonya is a skilled advocate who represents social workers and their teams in Court on a day to day basis.

Before she qualified as a Solicitor, Sonya practiced as a social worker in the area of child protection and welfare for 6 years. She has used this experience to develop a unique understanding of the legal framework for proceedings to place children in state care with a particular focus on the balance of parental and children’s rights. Sonya has also developed a unique model of legal training for those working in child protection and related areas, which can be tailored for different professionals, with focus on case examples and preparation for court proceedings.

Sonya and her colleagues have developed a legal training programme with Trinity College Dublin and other Irish Universities, which has been running since 2016. The training forms part of the undergraduate, masters and post graduate courses with the School of Social Work and Social Policy in Trinity College Dublin, which focusses on anonymous case examples to help students apply the legislation to practice.

Sonya launched a new online course in 2021 with Trinity College for those working in the area of domestic violence and child protection. It has been completed by over 500 practitioners, including social workers, domestic violence support workers and garda with support from TUSLA, Safe Ireland and other stakeholders.

sbruen@mhc.ie
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About Una

Una is Of Counsel in our Charities team. Una advises charities, not-for-profits and social enterprises on regulatory and governance issues, acting as a trusted advisor at senior level. She has a proven track record of delivering high-quality legal advice to her clients.

U...

About Una

Una is Of Counsel in our Charities team. Una advises charities, not-for-profits and social enterprises on regulatory and governance issues, acting as a trusted advisor at senior level. She has a proven track record of delivering high-quality legal advice to her clients.

Una is a former Partner and brings this expertise to clients to focus on updating and establishing new legal and constitutional structures. She advises charities and not-for-profits on planning for the future, including restructuring, merging with other charities or winding up activities. Una regularly advises clients on corporate governance issues, obligations under the Charities Act 2009 in Ireland and on compliance with the Charities Governance Code. She advises charities on dealing with the Charities Regulator, including on letters of concern. She also assists on establishing registered charities in Ireland.

uburke@mhc.ie
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