Deed of arrangement

A little used procedure that, under certain circumstances, may be more beneficial to an individual and his creditors than either debt management or a voluntary arrangement. Basically, an individual forwards to his creditors through a licensed insolvency practitioner an offer in settlement of his debts. The offer is submitted in the form of a deed and requires a majority in value to accept it for it to take effect. It is more appropriate where there are few creditors and there has already been an agreement provisionally approved. However, it is legally binding only on all approving creditors.

If you would like some more information on the deed of arrangement services we provide, please contact personal.insolvency@aabrs.com