Debt Recovery Update: Decline In Creditor Enforcement Continues

Further evidence that Ireland is emerging from economic recession can be seen in the publication of the Courts Service Annual Report 2016 (the Report). An examination of the Report's figures relating to debt collection activity shows a continuing decline in creditor litigation and enforcement. The number of default judgments marked in 2016 across the District, Circuit and High Courts shows a fall to 10,475 from 14,204 during the previous year. This represents almost an 80% drop on the equivalent number of such judgments marked in 2010.

Judgment enforcement proceedings

Other indicators reflect a similar trend. The Report noted the commencement of 3,695 instalment order cases, where a creditor applies to the District Court for an order compelling the debtor pay the judgment debt by weekly or monthly instalments, representing a 32% decrease on the 4,895 in 2015 and a 46% decrease on the 6,883 such cases in 2014. In addition, there were just 33 committal orders