Each year, thousands of companies and individuals are subject to insolvency procedures. In turn, this means thousands of insolvency notices are sent to creditors.
At Middlebrooks we provide bespoke services to creditors which can range from approaching the debtor, establishing their financial position, evaluating & selling assets and ultimately proposing a course of action that will ensure the best result for everyone.
In this particular case, we were appointed as a Trustee in a Sequestration. This was following the presentation of a petition to the Court by a creditor who was owed over £7,000.
On appointment, our team ascertained that the debtor jointly owned a property, and we were able to successfully identify this as an asset of the Sequestration which could be realized for the benefit of the creditors.
We then held discussions with the debtor regarding the property and it was mutually agreed that the property would be placed on the open market. The property was subsequently sold with 50% of the sale proceeds being remitted to the joint owner and 50% to the Trustee for the benefit of creditors.
The petitioning creditor’s solicitors were able to use their property team to assist with marketing and conveyancing.
The petitioning creditor received repayment of their legal fees for petitioning the court as well as full repayment of their claim plus statutory interest.