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Buachaill
Buachaill, Barrister
Category: Law
Satisfied Customers: 10722
Experience:  Barrister 17 years experience
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I have a property in Ireland. i have spent 3 years trying to

Resolved Question:

hello, i have a property in Ireland. i have spent 3 years trying to deal with the irish bank and come to an agreement as to what to do with it.
i now want to leave it behind. a resolution is not possible. there will be negative equity in it though.
will i have to go bankrupt to get rid? or do irish banks even have jurisdiction here?
thanks
Submitted: 1 year ago.
Category: Law
Customer: replied 1 year ago.
I'm also just after becoming a director of our company (my other half and I). Wiupd bankruptcy affect my ability to do this? Its in the construction industry.
Expert:  Buachaill replied 1 year ago.

1. Dear Gene, where are you resident? Do your liabilities exceed your assets? If the negative equity from this property in Ireland is taken into account, will your assets, in both Ireland and the UK, be insufficient to pay your liabilities? Are you worried about being followed for the negative equity debt in the UK?

Customer: replied 1 year ago.
Hello,yes im worried about negative equity in uk. I live in the uk since 2013. Liabilities far outweigh assets. My only asset is my car...approx 5.5k. Liabilities about 240k euro.
Expert:  Buachaill replied 1 year ago.

2. Dear Gene, you have the choice of going bankrupt in Ireland or the UK. This is because there is an EU wide insolvency system where you can go bankrupt where your "centre of main interests" is based. Here, as you live and work in the UK, you can go bankrupt there and also, if you wish, you could go bankrupt in Ireland because there is where you originate and where your debts are based.

Expert:  Buachaill replied 1 year ago.

2. Be aware that if a judgment is obtained in Ireland, it can be enforced in the UK. So, this negative equity issue will be left hanging by the bank, in the hope, that either one of two things happen. Either you become profitable again in the UK and pay them off or the value of the property in Ireland rises so there is no longer any negative equity. If I may say so, 240k is not a large sum in the scheme of property development.

Expert:  Buachaill replied 1 year ago.

3. If you go bankrupt, you will not be able to be a director of a limited company in the UK. However, you can still remain shareholder. So you could have your wife as director and you could be the majority or 50% shareholder. Once you are discharged from bankruptcy, you could then take up a directorship again.

Expert:  Buachaill replied 1 year ago.

4. Be aware that the reason you haven't been able to reach a resolution with the bank in Ireland is that your prospects might improve. They won't write such a small amount off as they take the view that you are perfectly capable of earning this sum quite quickly should your fortunes improve.

Expert:  Buachaill replied 1 year ago.

5. Please Rate the answer as unless you Rate the answer your Expert will receive no payment for answering your question.

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Customer: replied 1 year ago.
Thanks. That has answered my question.ps...im female. Other half is male. The spelling fools people.