Indebted woman to challenge bankruptcy laws

The High Court has heard a woman who fell into mortgage debt is bringing a constitutional challenge to our bankruptcy laws.

Lawyers for the woman - who has not been identified - sought an order stopping Ulster Bank from moving against her, under the 1988 act.

They say bankruptcy has draconian consequences and the law is flawed as it does not allow the courts to factor in relevant considerations such as the conduct of the lender.

It is argued in this case that when the woman put her house on the market, the bank refused offers that would have substantially reduced the sum owing.

They claim the debt has since gone up, while property prices have gone down.

It is argued that the 1988 Bankruptcy Act is unconstitutional because it does not allow the courts to factor in this type of relevant material.