Bankruptcy petitions—process and procedure
Bankruptcy petitions—process and procedure

The following Restructuring & Insolvency guidance note provides comprehensive and up to date legal information covering:

  • Bankruptcy petitions—process and procedure
  • Brexit impact—(Insolvency (Amendment) (EU Exit) Regulations 2019, SI 2019/146)
  • Steps to be taken by the petitioning creditor before the hearing
  • Steps to be taken by the debtor before the hearing
  • Steps to be taken by any creditor (other than the petitioning creditor) before the hearing
  • Who may appear at the hearing?
  • Failure to attend the hearing
  • Adjournments
  • Form of order adjourning bankruptcy petition hearing
  • Action to be taken by petitioning creditor following an adjournment
  • more

Before the hearing of the creditors’ bankruptcy petition takes place, there are a number of steps that must be taken to comply with the procedural requirements set out in the Insolvency (England and Wales) Rules 2016, SI 2016/1024 (IR 2016) and Practice Direction on Insolvency Proceedings (PDIP), including those that may be taken by the debtor or any other creditor if they wish to formally engage in the creditors' bankruptcy petition process.

Brexit impact—(Insolvency (Amendment) (EU Exit) Regulations 2019, SI 2019/146)

As of exit day (31 January 2020) the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an implementation period, during which it continues to be subject to EU law. References to exit day in many Brexit SIs are to be read as reference to IP completion day (Implementation Period completion day, defined in clause 39 as 31 December 2020 at 11.00 pm) (unless that provision is expressly disapplied by the SI in question). For further details, see News Analysis: Brexit—impact of the Withdrawal Agreement and European Union (Withdrawal Agreement) Act 2020 for R&I lawyers and Brexit Bulletin—key updates, research tips and resources.

For cross-border insolvency, the Insolvency (Amendment) (EU Exit) Regulations 2019, SI 2019/146 have an impact. For further details, see Practice Note: Brexit—impact on Recast Regulation on Insolvency.