MG Legal Solicitors 
Longridge: 01772 783314 Garstang: 01995 602129 Lancaster: 01524 581306 Lytham: 01253 202452  
A cardboard house cut out, with stacks of money lined up; our Solicitors in Longridge discuss how bankruptcy can impact your legal matter.
Bankruptcy is when a person who owes more money they can afford to repay applies for relief from payment of some or all of these debts. However, bankruptcy can impact more than just the person who is bankrupt. In this blog, our Solicitors in Longridge discuss some common scenarios they come across where bankruptcy can have an impact in MG Legal’s practice areas. 

Request a Callback 

Call: 01772 783314 

To be transferred through to your local office, or click on your local office below, to find the contact number. 


For an email back from our solicitors within one working hour. 

Visit your local office 

We're open 9am to 5pm, Monday to Friday, with out-of-hours appointments available. 

No initial cost 

We will have an initial no-obligation chat over the 'phone, via email, or in person, to advise if we can help. 


When choosing an executor or trustee to appoint in your Will, it is important to note that a trustee cannot be someone who is an undischarged bankrupt. Whilst this may not seem fair, especially if you are wanting to appoint someone close to you such as a child or grandchild, the principle is based on the fact that a trustee has a fiduciary duty to the beneficiaries. 

Lasting Powers of Attorney 

Similarly to acting as a Trustee, an undischarged bankrupt cannot be appointed as an attorney under a Financial Lasting Power of Attorney. This is again based on the fact that they are deemed unsuitable to manage money on someone else’s behalf. 

Why choose MG Legal Solicitors? 

No hidden fees.

Transparent fees. 

Our solicitors offer their services on a clear fixed-fee or hourly rate, and accept personal injury claims on a no win no fee basis. 
We are the experts

We are the experts. 

Here at MG Legal, our team of friendly solicitors are fully-qualified and have over thirty years' experience in helping clients just like you. 
Regular Communication

Regular communication. 

When you work with MG Legal, your solicitor will be in regular contact so you have step-by-step updates. 
Multiple Office locations.

Multiple office locations. 

If you are looking to instruct our solicitors, we have offices in Garstang, Longridge, Lancaster and Lytham for your convenience. 

Court of Protection Deputyship Applications 

As with Lasting Powers of Attorney, a Court of Protection appointed Deputy cannot be someone who is an undischarged bankrupt. In addition, a Deputy can flag up as being unsuitable for a range of other factors, such as credit issues in the past, previous criminal charges, among others. 

Buying Property 

When our Solicitors in Longridge act on a client’s behalf with the purchase of a property, we conduct bankruptcy searches before completion. If the client comes up with entries in relation to a bankruptcy, we would need to consider this further and may be unable to proceed with the purchase of the property. In some cases, these searches can flag up entries unrelated to our client, if for example the person has a common name, such as John Smith, so we would investigate and require confirmation that the charges do not relate to our client. 

Payment of Inheritance 

Our Solicitors in Longridge often deal with the administration of estates, including the payment of inheritance to beneficiaries under a Will. Before making payment, our team are required to carry out bankruptcy checks against the beneficiaries. If any of them are subject to insolvency proceedings, or are an undischarged bankrupt, we are generally required to contact the trustee in bankruptcy, and arrange to pay the funds to them, to be paid towards discharging the bankrupt person’s debts. 
Whilst our Solicitors in Longridge do not specialise in applications for bankruptcy, there are scenarios that our team deal with on a daily basis which give rise to reasons to consider bankruptcy and how this could impact the actions we could take on behalf of our clients. 

Why choose MG Legal's Solicitors in Longridge? 

Clear, fixed-fees 

Fully-Qualified Solicitors 

Tailored Service 

Multiple Office Locations 

Decades of Experience 

Home Visits 

Share this post:

Leave a comment: 


Our site uses cookies. For more information, see our cookie policy. Accept cookies and close
Reject cookies Manage settings