Bury law firm goes out of business

Law firm

A law firm which specialised in dealing with traffic accident claims has gone out of business.

Nesbit Law Group, which had offices in Bury, Liverpool and Birmingham, has ceased trading after facing financial challenges for a number of years.

It is understood 27 people worked for the firm when it went out of business.

The firm also specialised in cavity wall claims and disputes surrounding housing repairs and holiday sickness.

Change in legislation in 2013 with the introduction of the Legal Aid, Sentencing and Punishment of Offenders Act led to a reduction in the number of people who were eligible for legal aid.

In early 2016 Nesbit’s head office was flooded, which resulted in the loss of several lucrative contracts.

Nesbit Law entered into a voluntary arrangement (CVA) with its creditors in May 2017.

Despite the restructure the firm was unable to meet the terms of the CVA.

Ben Woolrych and David Thornhill of FRP Advisory LLP were appointed joint administrators earlier this month and company has now ceased trading.

Ben Woolrych said: “Due to significant changes in the legal sector, Nesbit Law had experienced financial challenges for a number of years.

“Despite every effort to save the business, the firm’s cash position unfortunately meant the only remaining option was for the business to cease trading.

“Our focus is now supporting those affected during this difficult time.”

The Bury-based firm and its founder Alan Nesbit were well known in the personal injury sector.

The firm was the official legal partner of Bury FC, while its owner was also director of the Association of Regulated Claims Management Companies.

The most recent annual report, covering the year ending 30 September 2017, revealed the firm owed more than £3m to creditors.

Click here to sign up to receive our new South West business news...
Close