Insolvency law is a specialised area and we are able to provide help in relation to both corporate and personal insolvency. For personal insolvency clients, we are able to offer assistance and advice if you are:
- considering bankruptcy or an IVA;
- have been made bankrupt;
- are a discharged bankrupt who is now facing a claim in relation to your property; or,
- are a bankrupt’s spouse who requires assistance in dealing with the matrimonial home.
We can also consider the merits of any purported claim against you and advise of the options open to you. Our Litigation department will assist as and where necessary in resolving issues.
How can we help you today?
Frequently Asked Questions
A company is insolvent when it can no longer pay its debts as they fall due or when its liabilities exceed its assets. This means the business cannot meet its financial obligations to creditors, suppliers, or HMRC. Our insolvency solicitors advise directors and business owners on their options and legal duties during this critical time.
Once a company becomes insolvent, directors must act in the best interests of creditors rather than shareholders. Options may include restructuring, entering administration, or voluntary liquidation. A business insolvency lawyer will assess your situation and help you decide the most appropriate and compliant course of action.
In some cases, yes. If a creditor has issued a winding-up petition, swift action is essential. You may be able to settle the debt, dispute the claim, or negotiate a payment plan before the petition is heard. Your solicitor can apply to court to adjourn or dismiss the petition if there are valid grounds to do so.
Directors have a legal duty to act responsibly and avoid worsening the position of creditors. Continuing to trade while insolvent could lead to personal liability or disqualification. A solicitor can help you comply with your obligations and reduce your personal risk.
Common routes include: ● Company Voluntary Arrangement (CVA): An agreement to repay creditors over time. ● Administration: Protects the business while a recovery or sale plan is developed. ● Liquidation: The company’s assets are sold to repay debts. Your insolvency solicitor will advise on which option best suits your situation and objectives.
Administration aims to rescue the company or achieve a better outcome for creditors by restructuring or selling the business. Liquidation involves closing the company and selling its assets to repay creditors. Both require formal legal procedures and professional advice.
Generally, company directors are protected by limited liability, but personal liability can arise if you’ve given personal guarantees, traded while insolvent, or breached your fiduciary duties. Early legal advice can help you minimise exposure and navigate these risks properly.
Employees are usually made redundant, but they may be able to claim unpaid wages, notice pay, and redundancy pay through the Redundancy Payments Service. Your solicitor can explain employees’ rights and help manage the process lawfully.
Once a company is liquidated, most debts are written off unless personal guarantees were given. However, creditors may investigate the company’s conduct prior to insolvency. An insolvency solicitor can help ensure compliance and respond to any post-liquidation enquiries or claims.
Yes. Our insolvency solicitors support businesses and directors across Essex, London and Cornwall and nationwide. Whether you’re facing cashflow pressure, creditor disputes, or formal insolvency proceedings, we’ll help you explore every option to protect your position and move forward with clarity.
OUR CLIENTS SAY…
“Lorraine provided quick and thorough advice on a potentially complicated property matter. She explained everything very clearly and enabled me to feel confident in my options and decision.”
Penelope
OUR OFFICES
Located in the heart of London, Essex & Cornwall
Paul Robinson Solicitors is a thriving independent law firm committed to providing exceptional service to clients nationwide, with offices situated throughout London, Essex and Cornwall.
Established in 1983, the firm has steadily expanded over the past 45 years, offering an extensive range of legal services to both personal and commercial clients. The team of highly experienced and skilled solicitors specialises in various fields and is dedicated to providing an outstanding level of service to achieve positive outcomes for their clients. The firm’s cutting-edge technology and efficient systems, together with its support and managerial staff, ensure maximum efficiency, accuracy, and cost-effectiveness.
