Government measures in key jurisdictions 4th edition - Flipbook - Page 61
Ireland
A limited number of face-to-face hearings have recommenced in WRC premises (with priority being given to previously
adjourned hearings). There has been a notable increase in the number of hearing dates being given by the WRC with
hearing times from 8:30am illustrating the WRC’s desire to clear a backlog of cases. For health and safety reasons, inperson hearings are being time-limited to two and a half hours with limited numbers of persons present at any one time. If
cases are not concluded within the allotted time, further dates are being fixed to resume the hearing. See the WRC’s
visitors’ guidance notes here.
•
Lay-Offs and Short Time: On 4th August 2020 the Government extended the suspension of redundancy provisions in
relation to temporary lay-offs and short time until 17 September 2020. This suspension means that an employee who has
been laid off or kept on short-time due to the effects of measures required to be taken by his or her employer in order to
comply with government policy to prevent, limit, minimise or slow the spread of infection of Covid-19 cannot give notice of
his intention to claim redundancy during that period.
Insolvency
Has the
government made any
changes to insolvency
legislation?
The Companies (Miscellaneous Provisions) (COVID-19) Act 2020, which came into effect on 21 August 2020,
has implemented the following changes in the area of insolvency during the “interim period” (which is
currently until 31 December 2020):
•
(i) Insolvency: A company will be deemed to be unable to pay its debts during the interim period, if it
fails after 21 days’ notice to pay a debt of €50,000. (In the ordinary course of events, a single debt of
€10,000, or aggregate debts of €20,000 would be sufficient).
•
(ii) Examinership: The duration of the examinership process has been extended by an additional 50 days
during the interim period if the examiner has been unable to make his report within the usual 100 days
and if “exceptional circumstances exist in respect of the company”.
•
(iii) Meetings of Creditors: much like virtual board meetings, the liquidator of an insolvent company is
given discretion to conduct a meeting of creditors at a physical venue or wholly or in part as an
electronic meeting, provided that all attendees have the ability to participate in the meeting. The Act
sets down specific information that must be provided to shareholders in the notice of the meeting.
There have also been some changes to legislation in other areas such as, for example, landlord / tenant
or employment law that will impact on insolvency practitioners, particularly receivers and liquidators,
during this emergency period.
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Government measures in key jurisdictions