Reform of Bankruptcy Laws
EU IMF Requires ammendement of Bankruptcy Rules
Under the recent agreement reached by the three parties, Ireland has at long last commenced reform of it the Bankruptcy laws. The existing rules, which are arguably the most punitive in the Western World, require a lengthy period of bankruptcy and expensive Court proceedings.
The Irish Times have reported that this is all about to change. http://bit.ly/kl1skx
The changes are to be welcomed from what can only be described as our Victorian way of dealing with those who are insolvent.
It would also mean that recent cases of Jurisdiction shopping to avoid the consequences of Bankruptcy in this State will diminish. One leading accountancy firm is advertising how it can arrange to have you delacred a Bankrupt in the UK and be on your feet again with in 12 months.
Of course, real reform might also alter peoples attitudes to Bankruptcy. In Ireland there is a real stigma which attaches to the Status of Bankrupt. In America you are a nobody if you have not failed.
The Courts in America take such petitions in a very, relatively, informal manner with costs not being half as significant.
Dermot F. Conway