Changes to Debtor’s bankruptcy applications

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From 6 April 2016, debtors will no longer be able to petition the court for bankruptcy.

Instead, debtors must make an online application to the adjudicator (a new insolvency office, appointed by the Secretary of State and sitting within the Insolvency Service) who will consider it.  If a debtor’s application provides all the prescribed information, and is considered appropriate, the adjudicator will make a bankruptcy order pursuant to its statutory jurisdiction under section 263I of the Insolvency Act 1986

The remainder of the bankruptcy process, following the making of the bankruptcy order and handover of the bankruptcy file to the official receiver, remains substantively unchanged.  The courts will continue to retain their general jurisdiction over bankruptcy proceedings commenced by the adjudicator’s bankruptcy order.

For more information, help or advice please contact Kelly Jordan on 0191 211 7899 or email [email protected].