Insolvency View – New Square Chambers
‘The newsletter features a series of reviews by our insolvency specialists, covering the latest major cases.’
New Square Chambers, 6th February 2020
Source: www.newsquarechambers.co.uk
Category: insolvency
High Court rules directors cannot buy assets of their liquidated company on the cheap – Local Government Lawyer
‘The High Court has ruled that company directors cannot buy assets from their liquidated companies at below market value.’
Local Government Lawyer, 30th January 2020
Source: www.localgovernmentlawyer.co.uk
Adriatic Land 1 (GR3) Limited v Miller & Others – Tanfield Chambers
‘On an appeal against a determination of the First-Tier Tribunal (FTT) as to the reasonableness and payability of service charges, the Upper Tribunal found that the FTT had erred in its construction of the residential leases.’
Tanfield Chambers, 21st January 2020
Source: www.tanfieldchambers.co.uk
Director must compensate creditors for cut-price purchase from insolvent company – Law Society’s Gazette
‘Directors of insolvent companies should not be allowed to buy assets of the business on the cheap, the High Court has ruled. In Systems Building Services Group Limited [2020] EWHC 54 (Ch), the court this week ruled that a director is liable to pay the liquidators of his company money he saved by not placing a house owned by the company on the open market when the company went under.’
Law Society's Gazette, 22nd January 2020
Source: www.lawgazette.co.uk
Liquidator’s firm liable for opponent’s costs after funding litigation – OUT-LAW.com
‘The High Court has characterised a liquidator’s firm as a real party to the litigation which it funded as it stood to make financial gain from the action and was therefore found not to be a pure funder facilitating access to justice.’
OUT-LAW.com, 10th January 2020
Source: www.pinsentmasons.com
Bury fight on after winding-up petition is dismissed in London court – The Guardian
‘The Companies Court heard on Wednesday that Bury and their owner, Steve Dale, had settled an outstanding debt with HM Revenue & Customs. The winding-up petition was dismissed by Judge Sally Barber, with the club instructed to pay costs.’
The Guardian, 18th December 2019
Source: www.theguardian.com
Out-of-hours Administration Appointments: The SAGA continues – Guildhall Chambers
‘It is now more than 17 years since the Enterprise Act 2002 was enacted with the laudable aim of streamlining the administration procedure, resulting in the introduction of the out-of-court administration regime set out in Schedule B1 to the Insolvency Act 1986 (“the Act”).’
Guildhall Chambers, 2nd December 2019
Source: www.guildhallchambers.co.uk
Property Guardians, vanishing companies and still getting it wrong – Nearly Legal
‘You may or may not have heard that one of the largest Property Guardian firms put itself (and all its related companies) into voluntary liquidation on 6 November 2019. But that is what Camelot did.’
Nearly Legal, 5th December 2019
Source: nearlylegal.co.uk
High Court cannot stay liquidated company’s Magistrates’ Court case – OUT-LAW.com
‘The High Court in England has ruled that it does not have the authority to stop a criminal trial in another court to protect the creditors of a company in voluntary liquidation.’
OUT-LAW.com, 25th November 2019
Source: www.pinsentmasons.com
Re Skeggs Beef Limited [2019] EWHC 2607 (Ch) and SJ Henderson & Company Limited [2019] EWHC 2742 (Ch) – Case Comment – Guildhall Chambers
‘Two recent decisions have shed yet more light on the “byzantine” system for out of hours appointments. Both confirm that the courts will continue to take a relatively detailed, yet pragmatic, approach to this issue.’
Guildhall Chambers, 8th November 2019
Source: www.guildhallchambers.co.uk
Court overturns CVA supervisors’ decisions to reject creditors’ proofs of debt – OUT-LAW.com
‘The High Court in England has overturned decisions made by supervisors of a company voluntary arrangement (CVA) to reject creditors’ proof of debt for dividend purposes.’
OUT-LAW.com, 11th November 2019
Source: www.pinsentmasons.com
CVAs after the Debenhams decision – Falcon Chambers
‘In May 2019, the requisite majority of the creditors of Debenhams Retail Ltd voted in favour of a company voluntary arrangement (“CVA”) proposed pursuant to s.1 of the Insolvency Act 1986. As has become common, the scheme of arrangement proposed by the CVA only affected the rights of landlords and rating authorities. All other creditors were to be paid in full.’
Falcon Chambers, 31st October 2019
Source: www.falcon-chambers.com
Court rejects debtor’s challenge to the validity of assignment of debt (Nicoll v Promontoria (Ram 2) Ltd) – Littleton Chambers
‘Restructuring & Insolvency analysis: James Bickford Smith, barrister at Littleton Chambers, examines the High Court’s decision in Nicoll v Promontoria (Ram 2) Ltd that the appellant debtor’s challenge to the validity of an assignment of his debt to the respondent should not have been entertained by the judge below because although the appellant had sought to put the effectiveness of the assignment in issue in his first witness statement, the point that he took was entirely different from that which he took before the judge.’
Littleton Chambers, 3rd October 2019
Source: www.littletonchambers.com
Insolvency Update – Using winding up procedure to collect a debt: Sell Your Car With Us Ltd v Anil Sareen [2019] EWHC 2332 – Hardwicke Chambers
‘The recent case of Sell Your Car With Us Ltd v Anil Sareen will be of interest to practitioners in Corporate Insolvency as it provides a useful reminder that there is no strict rule that the winding up procedure is inapt for mere debt collection.’
Hardwicke Chambers, 7th October 2019
Source: hardwicke.co.uk
Negotiating Retail CVAs – where are we now? Amanda Eilledge considers the recent decision in Discovery (Northampton) Limited v Debenhams [2019] EWHC 2441 (Ch) – Hardwicke Chambers
‘2018 was seen by many as the ‘year of the CVA’ and the year of the so -called ‘Retail CVA’ in particular. Such CVAs have been used in an attempt by companies operating in the retail and casual dining sector with burdensome leases to reduce the cost of their premises whilst continuing to trade.’
Hardwicke Chambers, 14th October 2019
Source: hardwicke.co.uk
A Summary Of Recent Corporate Insolvency Cases – Hardwicke Chambers
‘Phillip Patterson provides a summary of recent corporate insolvency cases covering:
– Fraudulent trading;
– Misfeasance, transactions defrauding creditors and the duties of directors; and
– The out of court appointment of administrators.’
Hardwicke Chambers, 9th October 2019
Source: hardwicke.co.uk
The impact of foreign insolvency proceedings on English law bank guarantees: ascertaining foreign law, the scope of the European Insolvency Regulation and the effect of pending actions – 4 New Square
‘Shail Patel acted for the successful defendants at trial in Bank of Baroda v Maniar [2019] EWHC 2463 Comm, in resisting claims by the bank on personal guarantees. The case raised a number of important points of European cross border insolvency law under the European Insolvency Regulation, and the English Court’s exercise of a foreign law judicial power.’
4 New Square, 28th October 2019
Source: www.4newsquare.com
Boss of bogus law firm disqualified as director – Legal Futures
‘The head of a bogus solicitors’ firm has received a 10-year director’s disqualification for running the business with a total lack of integrity.’
Legal Futures, 24th October 2019
Source: www.legalfutures.co.uk
MPs announce inquiry into Thomas Cook collapse – The Guardian
‘MPs are to hold an inquiry into the role of “corporate greed” in the collapse of Thomas Cook, focusing on directors’ stewardship of the company, how much they were paid and how its accounts were prepared and signed off by auditors.’
The Guardian, 26th September 2019
Source: www.theguardian.com
