Company insolvencies have recently hit a record high and are on an upward trend in the aftermath of the COVID-19 pandemic. This means that we are likely to see an increase in claims against directors, especially in light of new legislation that expands the government’s powers of investigation.

Record high insolvencies

Private wealth structures are not immune from insolvency. Here we examine the Jersey and Guernsey position from the trustee's perspective and consider the issues with which a trustee needs to be familiar.

Test for insolvency