Avoiding Litigation

You might be a corporation or an indebted individual in circumstances where either is involved in litigation.

A solicitor can bring a stop to these Litigation costs which alone alone can send you broke.


Of a Trustee under Part 10 of the Bankruptcy Act (which is not Bankruptcy- and arrangement to avoid one) if you are an individual


An Administrator for companies.

What happens in the event of such an appointment is that all claims are frozen.

A party considering or running the litigation can be precluded from commencing or proceeding with that litigation so that the heat is taken out of the matter and subject to the other party making application to the Court for leave to proceed. The dispute between the parties can be handled by the Trustee or the Administrator administratively,

or alternatively by way of dispute resolution type process that is to say, a lot less expensively. This tactic also exposes dishonest and or frivolous claims.

One might initially have concerns about these types of appointments in that, at first blush, it appears to be advertising to the world at large and in particular, to your suppliers and creditors that the business is in financial trouble.

An Administrator or a Trustee, if appointed, would be asked tell your clients, suppliers and creditors that the appointment is a tactical one designed to head off expensive and unreasonable litigation, which may impact upon viability of your business.  The Administrator or Trustee would then be asked to highlight the fact that insolvency is not the problem – that the problem is the pointless and financially draining litigation and that the appointment is tactical.

Formal arrangements with creditors can be made at the same time.