Bankruptcy & insolvency

When someone fails to pay you, we explain the steps you can take to recover the debt, how to make a debtor bankrupt, what happens to the money owed to you, and what a trustee in bankruptcy can do. The starting point is an honest assessment of the debtor's assets — if there are none, the chances of recovery are slim, and we say so.

To petition for bankruptcy, an individual debtor must owe you at least £5,000; for a company, the winding-up threshold is £750. Where a debtor is already in an insolvency process, we advise on proof of debt and proxy forms, dealings with the insolvency practitioner or trustee in bankruptcy, and how to make sure all available assets are recovered.

The threat and consequences of bankruptcy are serious, and the situation can be very worrying. We help you understand every option — including debt relief orders for those whose debts, income and property fall below the thresholds, a cheaper alternative to bankruptcy — so you can make an informed decision.

Bankruptcy places real restrictions on you: payments from income for up to three years, a damaged credit rating for six, the possible sale of your home, car, luxury items and even pension savings, restrictions in some professions, closure of a business, possible effects on immigration status, and public publication of the bankruptcy. Understanding these consequences early is essential to choosing the right course.

We assist insolvency practitioners in claims including preferences, transactions at an undervalue, dispositions of property, directors' disqualification proceedings, wrongful and fraudulent trading, and misfeasance — work that often involves substantial investigation, which we help our clients carry out.

For directors and creditors we advise on placing a company into administration, and on Company Voluntary Arrangements (CVAs), creditors' voluntary liquidations, compulsory liquidations, members' liquidations and LPA receiverships. With our specialist barristers and consultants, we work as a team to find the best settlement or determine whether a claim brought by an insolvency practitioner can be defended.

• Preparing and defending statutory demands
• Bankruptcy petitions and winding-up petitions
• Liquidations and administrations
• Proof of debt and proxy forms; dealings with insolvency practitioners and trustees in bankruptcy
• Advice for debtors, including debt relief orders and the consequences of bankruptcy
• Claims by and against insolvency practitioners — preferences, undervalue transactions, misfeasance and more
• Directors' disqualification proceedings

Proportionality drives our advice: before any step we assess the debtor's assets and the realistic prospects of recovery, so the costs you incur are always justified by what stands to be recovered.