Bankruptcy Restriction Orders (BROs) and Bankruptcy Restriction Undertakings (BRUs)


Bankruptcy Restriction Orders are intended to protect the public from dishonest or otherwise culpable bankrupts, after they have been discharged from bankruptcy. Bankruptcy Restriction Orders (BROs) are made by the court when the court is satisfied that it in the public interest to do so, for example where the bankrupt has failed to keep records or where they have disposed of assets in order to protect them from being used by the trustee in bankruptcy to pay creditors. A Bankruptcy Restriction Order will last between two and fifteen years depending on the level of dishonest conduct by the bankrupt. The bankrupt may decide to offer the trustee in bankruptcy a Bankruptcy Restriction Undertaking (BRU) as an alternative to going to court.

Bankrupts subject to BROs or BRUs are not allowed to do various things, such as obtain credit over a certain limit without disclosing that they are subject to a BRO, or trade in a name other than that under which the individual was made bankrupt. In addition, the bankrupt is not allowed to work as an insolvency practitioner, a company director or a Member of Parliament.

If you would like to obtain legal advice on Bankruptcy Restriction Orders or Bankruptcy Restriction Undertakings, Caven can put you in touch with a local specialist Personal Insolvency Solicitor free of charge. So, if you have any questions or would like our help in finding local Personal Insolvency Solicitors please call us on 08001 221 2299 or complete the web form above.

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