A Bankruptcy Petition is an application for a Bankruptcy order made against an individual which a creditor can present to Court on the grounds that the individual cannot pay their debts.
In the first instance a Statutory Demand will be served. It is important to deal with e Statutory Demand upon receipt as there are stict time limits to apply to set it aside.
Thereafter a Bankruptcy petition will be served which will normally be personally served and will be endorsed with details confirming the date, time and address of the Court where it will be decided whether to make a Bankruptcy Order.
If the individual fails to defend a Bankruptcy Petition, the Court will usually proceed to make a Bankruptcy Order against them. Bankruptcy has many adverse consequences including affecting credit rating which will cause problems if the Bankrupt individual wishes to borrow money or obtain a mortgage.
If an individual does not wish to be made Bankrupt, they must act quickly to defend a Bankruptcy Petition. Faradays can assist in defending Bankruptcy Petitions by preparing evidence demonstrating why the debt is disputed. We will attend the hearing at the Court and will work with you to put a case forward to demonstrate why the debt is not due,or establishing a counterclaim or claim for set-off.
In addition, Faradays may also be able to work with you to negotiate a settlement with the creditor who has presented the Bankruptcy Petition.
We have experience in acting for individuals on a wide variety of matters, including HM Revenue & Customs, banks and local authorities.
To contact our bankruptcy solicitors, please phone our office on 0207 281 1001. You can also email us at email@example.com.