Possession Proceedings
The Possession Proceedings specialists at BTMK are regularly instructed by insolvency practitioners to recover possession of commercial and domestic properties for the benefit of an estate in bankruptcy or liquidation.
At BTMK, we have the experience to deal with difficult owners, to ensure that orders are obtained swiftly and the property taken back for the benefit of the insolvent estate. We deal with these claims quickly and cost effectively.
The Right Expertise is Crucial
Making possession proceedings is a highly complex area of law and it’s important that the correct procedure is followed, particularly if a property falls under the three-year-limit.
In cases of insolvency and bankruptcy, as a trustee you will be looking to secure any assets for the creditors. Any property, including a family home, is usually the most valuable asset. In the case of individual bankruptcy any interest in the family home is automatically transferred to the trustee. If they are a joint owner, for example, their share of the ownership transfers to the trustee.
Where more than one property is owned, it’s also important to establish which is the family home and the extent to which a bankrupt individual has an interest in the property or properties.
A Trustee has three years, from the date of the bankruptcy, to act on this share otherwise it reverts to the bankrupt. As a trustee you will be required to act in one of the following ways:
Offer a co-owner the chance to purchase the bankrupt’s share, or allow funds to be transferred from a friend or family member.
Apply for a possession order and sell the property. This is often the route when a three-year-limit deadline is coming to a close.
Place a charge on the property to secure the debt.
Challenges in Possession Proceedings
Bankrupt individuals and tenants can be troublesome, adding stress to the process of making an application for possession proceedings.
We’ll help you arrive at the right solution whether that’s a County Court Possession Order or applying to the High Court for enforcement. It may be that the tenant in a commercial property has breached the terms of the lease and there is no need for high court action.
Often in possession proceedings problems or delays can arise when an application is made following the wrong procedure. However, the team at BTMK has the experience and expertise in handling the challenges that come with possession proceedings to help ensure the best possible outcome for you.
While there is a statutory requirement to liquidate the estate, a court is required to balance the interests of the creditors against the interests any family members living with the bankrupt to live in the family home. There are circumstances where a co-owner may be able to challenge an application, for example:
If a bankrupt is appealing to have the bankruptcy overturned a court can dismiss the application, however, it’s more likely it will wait on the outcome of the appeal.
The Experts at BTMK
When making possession proceedings, we understand the real challenge of dealing with bankrupt individuals who are challenging or tenants who are uncooperative.
We can advise you on all your possession proceedings applications as well as other options available to you. At BTMK we have a wealth of experience to be able to deal with these situations quickly and in a way that delivers the best possible outcome for you.
