Voluntary Arrangement


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Voluntary Arrangement

An agreement between a debtor and one or more creditors whereby the debtor repays according to a certain schedule arranged between all parties. A voluntary arrangement benefits creditors because it ensures that they are repaid. However, it also benefits the debtor because it keeps him/her out of bankruptcy.
References in periodicals archive ?
Insolvency expert Eric Walls, of the KSA group, confirmed MP Locums entered into a company voluntary arrangement with their creditors on July 10, 2012, but added: "The company have complied with, and are continuing to comply with, the terms of the agreed CVA.
Administrators in Manchester have now been appointed to try to salvage what they can for creditors, although Mr Russell told the ECHO he believed it could be less than they would have got through the voluntary arrangements.
But a statement released yesterday said: "The company operating Ruthin Castle successfully entered into a Company Voluntary Arrangement with the full support of its trading partners.
Today the re-scheduled Directions Hearing was effective, and the Tribunal granted Drydocks World - Dubai permission to convene the meetings of those creditors and equity interest holders who will be affected by the Company Voluntary Arrangement (CVAs) which only impacts the impaired lenders under the Group s historic syndicated facilities of 2008, to vote and approve the Company proposal on July 10th 2012, said Khamis Juma Buamim, Chairman Drydocks World and Maritime World.
Today the re-scheduled Directions Hearing was effective, and the Tribunal granted Drydocks World - Dubai permission to convene the meetings of those creditors and equity interest holders who will be affected by the Company Voluntary Arrangement (CVAs) which only impacts the impaired lenders under the Group's historic syndicated facilities of 2008, to vote and approve the Company proposal on July 10th 2012," said Khamis Juma Buamim, chairman Drydocks World and Maritime World.
The struggling off-licence hoped to restructure its debts through a company voluntary arrangement, but HM Revenue & Customs - a significant creditor - would not support the move.
The airline entered administration in June 2008 and exited through a Company Voluntary Arrangement (CVA) with it creditors, which was completed in February 2010, in June 2010 the airline sought creditor's approval for a second CVA which was granted.
Peter Fox, the Conservative leader of Monmouthshire County Council, entered an individual voluntary arrangement (IVA) with his creditors four years ago to hold off bankruptcy.
A total of 134,142 people went bankrupt or took out an Individual Voluntary Arrangement (IVA) or Debt Relief Order during the year, according to the Insolvency Service.
Many will not escape their current financial difficulties: accountants KPMG predict that more than 150,000 people are likely to enter into an Individual Voluntary Arrangement (IVA), be declared bankrupt or enter into a Debt Relief Order (a new option for people with little hope of repaying debts) to be introduced on April 6.
She said: "Like most businesses, we would have preferred the voluntary arrangement that has delivered this good service all these years.
Alfred Buller Bloodstock Limited is seeking a voluntary arrangement with its 67 individual creditors, including the Irish Equine Centre, Juddmonte Farms and Down Royal and Punchestown racecourses.

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