Under the Personal Insolvency Act, 2012 there are a number of options for debtors which will allow individuals to deal with debt where the debtor is insolvent. One of these solutions is known as the Personal Insolvency Arrangement or PIA. A PIA is a mechanism whereby an agreement in reached […]
Exploding myths around the Personal Insolvency Act 2012
There has been an avalanche of publicity around the Personal Insolvency Act 2012 and the opportunity it affords insolvent individuals to get back to a solvent state through the use of the various arrangements contained in it. The mission behind the legislation is to restore people who are insolvent to […]
The role of the Personal Insolvency Practitioner
The role of the Personal Insolvency Practitioner is central to the practice and procedure under the Personal Insolvency Act, 2012. It is provided in Chapter 2 of the legislation that a debtor who wishes to become a party to a Debt Settlement Arrangement (DSA) or a Personal Insolvency Arrangement (PIA), […]
Reasonable doubt about “Reasonable Living Expenses”?
At this point, most people will have heard of the Personal Insolvency Act, 2012. This Act introduced three new insolvency procedures to help individuals resolve issues of personal indebtedness. These procedures are Debt Relief Notices (“DRN”), Debt Settlement Arrangements (“DSA”) and Personal Insolvency Arrangements (“PIA”). An individual known as an […]
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 […]
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 […]
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 […]
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 […]
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 […]
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 […]