Berwick Solicitors welcome the changes proposed by the Irish Government in relation to the laws governing a company going in to examinership.
Examinership is a process whereby a company which has a good prospect of trading out of it’s current difficulties but is under pressure from one or more of its creditors, can apply to the courts for protection from its creditors for a specified period to allow the company to put in place a scheme of arrangement. The court if satisfied that the company has a reasonable prospect of survival, can appoint an independent expert called an examiner to put together the scheme of arrangement which provides for partial settlement of the debts owed to certain classes of creditors. Normally a company seeking examinership must apply to the High Court which can cost potentially thousands of euro in legal fees. The proposed changes will allow a company to apply in its local circuit court for examinership which will greatly reduce the legal costs.
As a law firm focussed on providing affordable debt recovery and insolvency solutions to its business clients, Berwick Solicitors welcomes the proposed changes and eagerly awaits the fast tracking of the legislation to implement the government’s plans.
For more information, please contact James Seymour at jamesseymour@berwick.ie.
