Our Experience

We have extensive experience in dealing with contentious insolvency matters both corporate and personal.

We act for Insolvency Practitioners, creditors, debtors, directors and other stakeholders both before and after a formal insolvency process, such as compulsory and voluntary insolvent liquidations, bankruptcies, administrations, receiverships and members’ voluntary liquidations.   

Insolvency Dispute Solicitors

Antecedent Transactions

Our solicitors have dealt with a full range of such insolvency matters including antecedent transactions, examples of some of these transactions are as follows:

  • Preference claims – acting for liquidators in successfully bringing a preference claim against directors for using the insolvent company’s funds to repay directors’ loans which had the effect of putting the directors in question in a better, position than other unsecured creditors.
  • Transactions at an undervalue – acting for clients in successfully resisting a claim that a valuable asset of the insolvent company was sold at an undervalue.
  • Avoidable floating charges –

    advising on vulnerable floating charges granted by a distressed company shortly before going into a liquidation process.

  • Transactions defrauding creditors –

    acting for directors in defending these statutory claims where it was alleged that transactions were entered into to dispose of assets to frustrate creditors.

  • Extortionate credit transactions –

    advising on credit transactions that contain grossly exorbitant terms usually relating to interest. Many companies entered into arguably extortionate credit transactions during the COVID-19 pandemic.

Other Claims Against Directors

We also advise in relation to other claims against directors. Directors owe fiduciary and other duties to the companies they manage. Once the company enters into a formal insolvency procedure, director’s actions will be closely scrutinized and if a director is found to have breached those duties, that director can be required to compensate the company for financial loss or to return company property.

Disqualification of Directors

Directors who have misconducted themselves can also face disqualification proceedings from either the Competition and Markets Authority, Companies House, the Courts, an Insolvency Practitioner and the Insolvency Service. The Insolvency Service has been tasked with investigating “bounce back” loans and has the power to disqualify directors where the loans were wrongly obtained or not used for the permitted purpose.

In addition, HMRC, creditors (secured, unsecured and other), shareholders and the Registrar of Companies and Companies House can also bring claims against directors.

Wrongful and Fraudulent Trading

Our solicitors have advised on claims for both wrongful and fraudulent trading. If wrongful trading or fraudulent trading is proved, the directors involved can be held personally liable to contribute to the insolvent company’s assets.

Other Insolvency Matters

We also advise on:

  • Reservation of title claims – bringing and defending these claims most of which were settled without litigation.
  • The statutory powers of office holders.
  • Statutory demands – this can be an effective debt recovery tool.

Insolvency occurs when a company is in financial distress, has an inability to pay its debts due to poor cash flow and liabilities exceed assets. If the result is a formal insolvency process, then the conduct and actions of the company directors can be investigated by the Insolvency Service and other regulatory bodies, to see if they have fulfilled their statutory obligations, including in the above areas.

We also provide legal advice for property disputes, joint venture agreements, issues with probate and wills and are experts in ADR – Alternative Dispute Resolution.

Servicing clients in Ascot, Bracknell, Camberley, Weybridge, Guildford and the surrounding areas.

 
 

Please contact us for more information on our insolvency services.

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