Latest News From Complete Clarity Solicitors

Back in March, the Accountant in Bankruptcy ("AiB") has published its corporate insolvency data for the fourth quarter of the fiscal year 2021-22, which runs from January to March 2022. The AiB monitors liquidations and receiverships, and their data reveal that the number of companies entering liquidation has nearly doubled during the same quarter in 2020-21, with 240 entities entering liquidation compared to 91 the previous year. It is worth noting that, in the past, most corporate insolvencies were forced liquidations, whereas since the first quarter of 2020-21, the majority have been creditors' voluntary liquidations, implying that company directors are deciding to wind up based on the company's inability to pay its debts, rather than creditor pressure. 

It can be challenging for individuals and businesses to manage their personal finances or manage their cash flow and keep their business running if they don't take adequate steps to recover debts due to them. If you, or your business, is owed money you should aim to recover that debt as soon as possible. There are different ways that you can seek to recover a debt in Scotland depending upon the level of debt that is owed.

Often, clients contact us regarding debts due to them, with the understanding that a lengthy and expensive court action will have to take place before they have a hope of retrieving those funds. However, given the correct circumstances, there may be another alternative available.

New research has revealed that British SMEs are owed more than £500 billion in outstanding invoices, an increase of more than 70% in two years.

The European Parliament’s legal affairs committee has given its backing to plans to improve and broaden the use of a simplified procedure for low-value cross-border claims to recover money from abroad.

The UK Government has launched a consultation over new proposals that will require large and listed companies to publish detailed information about their payment practices and performance.

Further action on late payment should be one of the top priorities in the Autumn Statement, according to national business group the Forum of Private Business.

A new law, which was introduced by the Scottish Government to allow local councils to recover debts they have incurred when taking on enforcement work on dangerous or defective buildings, has been passed by the Scottish Parliament.

An initiative by the European Commission to help businesses recover millions of euros that are currently lost each year in cross-border debts has now received the backing of the European Parliament.

There has been an 11% drop in the number of debt cases raised in Scotland in the financial year 2012-13, compared to 2011-12, according to the latest statistics published by Scotland’s Chief Statistician.

Changes to the rights of Scottish creditors and debtors are on the way, following the recent passing of the Bankruptcy and Debt Advice (Scotland) Bill by the Scottish Parliament.

Businesses and individuals who are trying to recover debts from another EU country should find the process easier if new draft European legislation comes into effect.

All companies should have a culture of prompt payment, says the CBI in its recent submission to the UK Government’s consultation on building a responsible payment culture.

There was a drop in the number of personal and corporate insolvencies in Scotland over the third quarter of 2013-14, according to new figures from Scotland’s Accountant in Bankruptcy (AiB). The news follows the recent AiB announcement that there has also been a slight fall in the use of diligence across the country.

It looks like there has been a small drop in the use of diligence in Scotland over the past year, if the latest Scottish Diligence Statistics, recently published by Scotland’s Accountant in Bankruptcy, are anything to go by.

A number of concerns have been raised over the Bankruptcy and Debt Advice (Scotland) Bill, which is currently before the Scottish Parliament.

The Special Administration Regime (SAR), set up in February 2011, was used last week for only the fourth time since its launch, the Financial Services Authority (FSA) has announced. Fyshe Horton Finney Stockbrokers entered the SAR on 20th March 2013.

Debt recovery update for businesses: New law targets late payers.

The rules on late payments are due to be tightened a little from 29th March, when an EU Directive is brought into force in Scotland. The Late Payments Directive is designed to help businesses, especially small and medium sized enterprises (SMEs), recover their debts.