Best Insolvency Lawyers in Corfu

How insolvency works in Corfu in practice

Insolvency law in Corfu follows the national Greek framework, but local circumstances often shape the case. Seasonal tourism businesses, hospitality employers, agricultural operators, and property owners may face sharply uneven income during the year.

Debt relief may involve an out-of-court settlement, a court-supervised restructuring, or bankruptcy followed by discharge. The appropriate route depends on whether the debtor is an individual, company, self-employed person, or household, and whether payments have already stopped.

Proceedings may involve the Court of First Instance in Corfu, electronic government platforms, creditors based on the island or mainland, and secured lenders holding mortgages over Corfu property. A lawyer can coordinate these issues and identify deadlines before enforcement action becomes more difficult to manage.

When legal advice is especially important

• A seasonal tourism business has accumulated arrears. Hotels, rooms-to-let operators, restaurants, and transport businesses may need a plan that reflects seasonal revenue rather than one uniform monthly payment.
• A bank or servicer is enforcing a mortgage over Corfu property. A lawyer can check the loan documents, enforcement stage, valuation, and available restructuring or suspension options.
• A self-employed person owes several types of creditor. Tax debts, social security contributions, supplier invoices, employee claims, and bank loans may require coordinated treatment.
• A company cannot pay suppliers or employees on time. Directors should obtain advice promptly because continuing to trade, preferring creditors, or transferring assets may create additional legal risks.
• A debtor has income or assets outside Corfu. Mainland bank accounts, jointly owned property, or business interests do not disappear from the assessment and should be disclosed accurately.
• A creditor wants to recover money from a Corfu business. A lawyer can assess whether an insolvency filing, enforcement, settlement demand, or participation in proceedings is the most effective response.

Greek laws that govern insolvency in Corfu

Law 4738/2020, the Code for Debt Settlement and Second Chance. This is the principal modern framework for debt restructuring, the electronic out-of-court mechanism, bankruptcy, and discharge of eligible debtors. Its main provisions became operational from 1 June 2021, and later amendments and administrative decisions have changed procedures and platform requirements.

Law 3588/2007, the Greek Bankruptcy Code. This earlier code governed many older bankruptcy proceedings. It has largely been replaced for new cases by Law 4738/2020, but it may still matter in pending or transitional proceedings.

Law 3869/2010, commonly known as the Katseli law. It introduced judicial debt adjustment for over-indebted individuals and households. Its protection and filing regime was substantially limited by later reforms, so its relevance usually concerns older applications or transitional matters rather than a new filing today.

The Greek Civil Procedure Code, enforcement legislation, tax rules, and social security rules may also affect a case. A lawyer should verify the current consolidated text and the procedural position before relying on an older article or deadline.

Frequently asked questions

Do I need a lawyer to deal with insolvency in Corfu?

A lawyer is not always required to make an initial enquiry or use every electronic debt platform. Legal representation is important for court proceedings, bankruptcy petitions, enforcement disputes, company issues, and negotiations involving significant assets or multiple creditors.

Can an individual in Corfu apply for debt relief?

Individuals may qualify for debt settlement or bankruptcy under the applicable Greek framework if the statutory conditions are met. Eligibility depends on financial information, inability to pay, assets, income, creditor claims, and the debtor's conduct.

Can a Corfu company use the out-of-court mechanism?

Businesses and individuals may be eligible for the electronic out-of-court debt settlement mechanism under Law 4738/2020. The mechanism does not accept every claim or guarantee an agreement, so the debts and financial data must be checked before filing.

What happens to tax and social security debts?

Public-sector debts may be included where the relevant statutory conditions are satisfied. The treatment depends on the mechanism used, the type of debt, and current rules for the relevant authority.

Can bankruptcy stop a forced sale of Corfu property?

A bankruptcy filing does not automatically guarantee that every enforcement action will stop at once. The effect depends on the procedural stage, the type of creditor, court orders, and the relationship between individual enforcement and the insolvency process.

Will I lose my home if I become bankrupt?

Bankruptcy generally involves the realisation of assets within the statutory framework, so home ownership requires careful analysis. Ownership, mortgages, co-ownership, income, family circumstances, and any applicable housing protection measures must be reviewed before choosing this route.

How long does a debt settlement or bankruptcy case take?

An electronic settlement may progress faster than contested court proceedings, but timing varies with creditor responses, document quality, platform processing, and objections. Bankruptcy and discharge involve statutory stages that can take considerably longer than an initial consultation.

How much does an insolvency lawyer in Corfu cost?

There is no single statutory fee covering every insolvency matter. The total may include the lawyer's fee, court or filing charges, service by a court bailiff, accountant work, valuation costs, and other expenses.

Can a lawyer negotiate with banks before a formal filing?

Yes. A lawyer may negotiate directly with a bank, loan servicer, supplier, landlord, or public creditor before formal proceedings begin. Early advice can help preserve options, but it does not require a creditor to accept a proposal.

Can a self-employed person continue trading during debt restructuring?

Continuing to trade may be possible, depending on the procedure and the person's financial position. The business should keep accurate records, pay current obligations where possible, and avoid transactions that unfairly favour one creditor or reduce the available estate.

Do creditors outside Corfu participate in the same case?

Yes. Greek insolvency proceedings can address claims held by mainland banks, national suppliers, public authorities, and other creditors. The location of a creditor does not normally prevent it from submitting or pursuing a claim under the applicable procedure.

What documents should I bring to the first meeting?

Useful documents include tax returns, assessment notices, bank and loan statements, social security records, property documents, leases, company accounts, creditor letters, enforcement papers, and details of household income and expenses. Complete and consistent information helps the lawyer identify the correct procedure and urgent deadlines.

Official resources in Corfu and Greece

• The Court of First Instance in Corfu. The local court handles relevant civil and commercial proceedings within its jurisdiction, including matters connected with insolvency and enforcement.
• The General Secretariat for Private Debt Management. This government service provides information and operates or supports official procedures for private debt adjustment, including the electronic out-of-court mechanism.
• The Independent Authority for Public Revenue. AADE administers tax debts and participates as a public creditor where the applicable debt settlement procedure allows.

Practical next steps for hiring a lawyer

1. Collect the urgent papers within one to three days. Gather loan notices, payment orders, seizure or auction documents, tax records, social security statements, leases, company accounts, and property information.
2. Identify immediate deadlines. Check whether an objection, appeal, response to enforcement, or auction date falls within days or weeks. Send the documents to a Corfu lawyer promptly if enforcement is active.
3. Arrange two or three initial consultations within one week. Ask whether the lawyer regularly handles debt restructuring, bankruptcy, company insolvency, enforcement, and public-sector debts.
4. Request a written case plan and fee estimate. It should distinguish advice, negotiations, electronic applications, court work, hearings, appeals, and third-party expenses.
5. Confirm the proposed route. Compare an out-of-court settlement, negotiated restructuring, court procedure, and bankruptcy, including effects on property, guarantees, business activity, and discharge.
6. Sign a clear engagement agreement. Confirm the lawyer's authority, communication method, document responsibilities, deadlines, payment schedule, and treatment of additional work.
7. Provide complete information immediately after appointment. Disclose all creditors, assets, income, guarantees, transfers, and related companies. Inaccurate or incomplete information can delay the process and damage credibility with the court or creditors.