Two common situations have been observed to occur quite frequently with respect to property and insolvency. The first is involves a landlord trying to recover rent from a tenant who is quite likely to turn insolvent; and the second is related to a secured lender such as a building society or a bank enforcing charges over properties.
It is a challenge for the landlord in case his tenant is in a weak financial position. It might be true that the creditor who presses hardest gets paid; but at times pressing too hard could force a debtor into insolvency. Making the right decision isn’t always easy. A landlord and his solicitor need to be duly aware about the tenant; equipped with information about the available remedies; and good negotiating skills. Great care needs to be taken in case there are substantial arrears and a complex situation involving competing interests to ensure that the outcome is in best interests of the client.
Our team gives advice to both creditors and debtors and we have experience of handling all the insolvency procedures, including administration, receivership, liquidation and bankruptcy.