PWC ADMINISTRATORS have arranged the pre-pack sale of Manchester-based solicitor firm Donns to its rivals.
Toby Underwood and Robert Hebenton, from PwC, were appointed joint administrators to the company which specialises in personal injury and payment protection insurance claims.
The administrators managed to sell all 2,500 cases to rivals with Irwin Mitchell, which took the personal injury workload, and C Turner Solicitors, which took the mis-selling claims. However, no staff formed part of that sale and 42 have been made redundant.
Hebenton said: "We appreciate that this will be a worrying time for Donns clients. Arrangements were made to transfer all live client files on appointment to minimise any issues for clients. Irwin Mitchell and C Turner Solicitors will be in touch with each client to advise them of the current situation and offer them the choice of appointing the relevant firm or another solicitor of their choosing."
The collapse of the partnership was blamed on cash flow difficulties and significant historic liabilities.
A pre-pack administration entails the whole or part of a sale arranged prior to a business entering an insolvency process and sold immediately on appointment of administrators.
You may also like
AccountancyAgeInsight is a frequently updated resource centre for finance professionals, offering a free and easy-to-use digital library of briefings, white papers and other information resources.