The High Court has found that Debtors may live beneath Reasonable Living Expenses whilst going through a Personal insolvency Arrangement.

The Court recently gave judgment in which it overturned two Circuit Court decisions in respect of the matter.

The central issue before the High Court was whether it is permitted under the Acts to construct a PIA that requires a Debtor to live below the Reasonable living Expenses guidelines published by the Insolvency Service of Ireland. The debtors involved argued that it was possible, and that the RLE Guidelines are “guidelines”, and that the concept of a “reasonable standard of living” is a fluid test that will be different for every family. 

I set out belwo a link to the judgment.

Note:  The above link may not view well on a mobile phone.

The Hurley PIA referred to in the case is a great case study of how a PIA may save a family home.