Two recent developments may have rendered the Irish legal system less attractive to creditors. We examine the scope of these developments and the likely impact on debt collection activity in Ireland.

Rate of interest of judgment debts falls by 6%

The rate of interest on judgment debts has been reduced from 8% to 2%, with effect from 1 January 2017, in accordance with the Courts Act 1981 (Interest on Judgment Debts) Order 2016 (S.I. No 624 of 2016) (the “Order”).

We examine the scope of the Pensions (Amendment) (No. 2) Bill 2017 and look at the potential impact on defined benefit pension schemes in Ireland, if enacted.

Banking & Finance Banking & Finance Dezember / December 2016 4 | Editorial Fokus 6 | Verschärfung der Regulierung auf dem sog. Zweitmarkt – Anlageberatung und -vermittlung von Vermögensanlagen ab 2017 KWG-erlaubnispflichtig 8 | Anforderungen an ein schlüssiges Sanierungskonzept zur Verhinderung einer Insolvenzanfechtung aus Sicht der Gläubiger Aufsichtsrecht 10 | Zusätzliche Anforderungen an die Ausgestaltung einer Limitation Language aufgrund des Asset-Stripping-Verbots gemäß § 292 Kapitalanlagegesetzbuch (KAGB)?

Until recently, Irish creditors could reasonably assume that money judgments awarded in Ireland could be enforced within all other EU member states, including the UK[1]. This gave Irish creditors comfort that they could swiftly and cost-effectively pursue UK-situate assets of a judgment debtor, after a judgement was obtained in Ireland.

OLG Naumburg verneint Haftung der Organe eines insolventen Zeitarbeitsunternehmens gegenüber den Einzugsstellen.

Bislang ist von der Rechtsprechung nicht abschließend geklärt, ob eine persönliche Haftung der Organe eines Zeitarbeitsunternehmens wie der Geschäftsführung gegenüber den Einzugsstellen in Betracht kommt.

Simple retention of title clauses are commonplace and generally effective in contracts for the sale of goods. However, extending their effect to the proceeds of sale of such goods requires careful drafting.

The Court of Appeal has provided some further clarity around the creation and effects of fiduciary obligations in relation to such clauses.[1]

Proceeds of sale clauses

A recent Court of Appeal decision in the UK has ruled that individuals facing bankruptcy cannot be forced to hand over their pensions to pay off outstanding debts. We examine the affect insolvency can have on your pension in this jurisdiction.

The recent UK Court of Appeal decision in Horton v Henry ruled that there was no requirement to draw down funds held in a pension in the event of bankruptcy. As a result of this decision, the UK legal system now appears to acknowledge that pension funds should be out of the reach of a bankruptcy trustee.

The Residential Tenancies (Amendment) Act 2015 has undoubtedly strengthened the position of tenants and increased the responsibilities and challenges facing receivers appointed by secured lenders over residential investment properties. While the added protections for tenants are to be welcomed, certain provisions of the Act result in relatively onerous obligations on receivers who are already faced with practical difficulties when seeking to deal with and realise the secured asset in accordance with their duties.

As we head into a new Legal Year, we examine recent trends in debt recovery litigation. The Courts Service 2015 Annual Report noted, in the words of Chief Justice Ms. Susan Denham, “another busy year for the courts”. Indeed, the courts received 248,254 new civil cases in 2015, a very marginal decrease from the corresponding 2014 figure.

Default judgments

The High Court has reiterated that cross-examination will not generally be permitted on an interlocutory application, or where there is no conflict of fact on the affidavits.

In McCarthy v Murphy,^[1] the defendant mortgagor was not permitted to cross-examine the plaintiff (a receiver) or a bank employee who swore a supporting affidavit.

Background