James Wilson discusses the Temporary Insolvency Practice Direction 2020 (“TIPD”) – Park Square Barristers

‘On 6th April 2020 the TIPD came into force. It implements a number of changes and supplements to the Practice Direction – Insolvency Proceedings July 2018. The purpose is to avoid, where possible, parties attending court in person and the likely disruption in proceedings as a result of the COVID-19 pandemic.’

Full Story

Park Square Barristers, 8th April 2020

Source: www.parksquarebarristers.co.uk

A guide to the future ahead for TUPE and insolvency – Littleton Chambers

‘On Easter Monday, 13 April 2020, the High Court (Snowden J presiding) handed down its judgment in the matter of Carluccio’s Limited (in administration) [2020] EWHC 886 (Ch). To add to the Easter joy, the furlough guidance was amended on 9 April 2020 and the judgment had to embrace the amended guidance. One of the clarifying amendments on 9 April was the confirmation that employees who transfer under TUPE after 28 February 2020 may be placed, or continue, on furlough. This has practical implications in the light of this judgment.’

Full Story

Littleton Chambers, 14th April 2020

Source: www.littletonchambers.com

Carluccio’s Limited (in administration): Administration and furlough arrangements with employees – Exchange Chambers

‘Snowden J gives urgently sought directions to administrators in respect of furlough arrangements with employees following a remote video hearing in the matter of Carluccio’s Limited (in administration) [2020] EWHC 886 (Ch).’

Full Story

Exchange Chambers, 15th April 2020

Source: www.exchangechambers.co.uk

Out-of-Hours Appointments: A Temporary Fix to a Permanent Problem? – Radcliffe Chambers

‘The past year has seen repeated attempts by the courts to solve the conundrum of electronic working and how it interfaces with outof-court appointments of administrators. Six decisions, all conflicting in whole or in part, none likely to result in an appeal, did little to ease the uncertainty surrounding the validity of notices efiled outside court hours by CE-File. There was no substantive attempt at resolution on the part of the Companies Court or the Insolvency Rules Committee; the Chancellor issued guidance to the effect that notices filed out-of-hours would be referred to a designated High Court Judge.’

Full Story

Radcliffe Chambers, 8th April 2020

Source: radcliffechambers.com

High Court rejects attempt to adjourn £250m trial because of virus – Litigation Futures

‘The High Court has rejected an application to adjourn a five-week trial of a £250m insolvency claim because of the coronavirus pandemic.’

Full Story

Litigation Futures, 9th April 2020

Source: www.litigationfutures.com

COVID-19 New Insolvency Rules – Radcliffe Chambers

Posted April 3rd, 2020 in chambers articles, coronavirus, insolvency, news by sally

‘The Government has proposed imminent new insolvency rules with the aim of helping more businesses weather the COVID-19 storm and avoid entering an insolvency process. The overriding objective is to assist UK companies to keep trading whilst restructuring. The measures proposed to give this breathing space are set to include a suspension of the current wrongful trading provisions and a new moratorium for businesses undergoing a restructuring process.’

Full Story

Radcliffe Chambers, 30th March 2020

Source: radcliffechambers.com

Directors disqualified after abandoning care homes, diverting council funds – Local Government Lawyer

‘The directors of two care homes in the Midlands have been disqualified after they diverted council funds before abandoning elderly residents and staff, the Insolvency Services has revealed.’

Full Story

Local Government Lawyer, 31st March 2020

Source: www.localgovernmentlawyer.co.uk

When will the insolvency court review, rescind or vary any order made by it? (Discovery (Northampton) Ltd and other companies v Debenhams Retail Ltd and others) – Radcliffe Chambers

Posted March 25th, 2020 in chambers articles, insolvency, jurisdiction, news by sally

‘This article analyses the latest decision in the challenge to the company voluntary arrangement (CVA) entered into by Debenhams Retail Ltd (Debenhams) in 2019. Southampton Estates Ltd (Southampton) sought, pursuant to rule 12.59 of the Insolvency Rules 2016 (IR 2016), SI 2016/1024, that Sir Alastair Norris, sitting as a High Court judge, review and vary his earlier decision that the Debenhams CVA was valid and enforceable. Written by Kate Rogers, barrister, at Radcliffe Chambers.’

Full Story

Radcliffe Chambers, 2nd March 2020

Source: radcliffechambers.com

Further Lessons from Lehman Bros: The Court’s Control of Office Holders – Hardwicke Chambers

Posted March 20th, 2020 in administrators, appeals, banking, chambers articles, coronavirus, debts, insolvency, news by sally

‘When major financial institutions go to the wall the ensuing legal squabbles over the carcases often provide rich seams that can be mined to provide judicial clarification of the law for the benefit of all. The spectacular collapse of the Lehman Brothers empire is no exception and the latest chapter does not disappoint. In Lehman Brothers Australia Ltd (In Liquidation) v Macnamara & Ors (Joint Administrators of Lehman Brothers International (Europe) (In Administration)) [2020] EWCA Civ 321, the Court of Appeal (Patten, David Richards, Newey LJJ) has provided some timely and useful clarification on the correct test for the court to apply when considering the exercise of its inherent jurisdiction to control its officers within the principle of Re Cordon, Ex p. James (1873-74) LR 9 Ch App 609 or through the more specifically targeted statutory provisions for such control, as for example those in para 74 of Schedule B1 to the Insolvency Act 1986 (IA 1986) with regard to administrators. In the present climate induced by Coronavirus (COVID-19), any clarity that makes the necessity of going to court less likely is to be doubly welcomed.’

Full Story

Hardwicke Chambers, 17th March 2020

Source: hardwicke.co.uk

Wife in one of Britain’s largest-ever divorce cases succeeds in latest enforcement action against her former husband – Family Law

‘In this article, we look at the recent decision in the ongoing and highly publicised divorce case of Akhmedova v Akhmedov. This decision is the latest in a long run of enforcement cases brought by the wife against her former husband, who, in 2016, was ordered to pay her one of the largest reported financial settlements in England. While the judge was critical of the husband’s reorganisation of his assets to put and keep them beyond the wife’s reach, this is not the end of the road for this case. This judgment is simply another stepping-stone towards the wife realising the award she is entitled to.’

Full Story

Family Law, 11th March 2020

Source: www.familylaw.co.uk

Case highlights need for certainty in out of hours administration appointments – OUT-LAW.com

‘The High Court ruled that it is not permissible for a notice of appointment of administrators by the directors of a company to be e-filed out of court hours. The court ruled that the defect was curable and that the appointment took effect at the time the court opened for business the next working day. This judgment adds to the growing number of conflicting cases about the validity and time of the appointment when notices are e-filed out of hours.

Full Story

OUT-LAW.com, 6th March 2020

Source: www.pinsentmasons.com

Developments since Keyworker Homes – Exchange Chambers

Posted February 26th, 2020 in administrators, chambers articles, electronic filing, insolvency, news by sally

‘In a judgment which disagreed with the recently reported decisions of Re Skeggs Beef Limited[2019] EWHC 2607 (Ch) and Re SJ Henderson and Co Ltd [2019] EWHC 2742 (Ch), HHJ Hodge QC sitting as a Judge of the High Court found:

1) Notices of Intention to Appoint Administrators (“NOI”) can be filed at any time via e-filing and take effect at the time they are filed via e-filing.
2) Directors or the Company can make out of hours appointments of Administrators by filing a Notice of Appointment (“NOA”) at any time via e-filing. The appointment will take effect at the time the documents are filed via e-filing.
3) That for the purposes of the computation of the period of 10 business days pursuant to para 28(2) of Sch.B1 of the Insolvency Act 1986, the first business day will be the business day after the date on which the NOI was filed – thus it is a ‘clear days’ calculation.’

Full Story

Exchange Chambers, 20th February 2020

Source: www.exchangechambers.co.uk

Insolvency View – New Square Chambers

Posted February 11th, 2020 in chambers articles, insolvency, news by sally

‘The newsletter features a series of reviews by our insolvency specialists, covering the latest major cases.’

Full Story

New Square Chambers, 6th February 2020

Source: www.newsquarechambers.co.uk

High Court rules directors cannot buy assets of their liquidated company on the cheap – Local Government Lawyer

Posted January 30th, 2020 in company directors, company law, compensation, insolvency, news, valuation by tracey

‘The High Court has ruled that company directors cannot buy assets from their liquidated companies at below market value.’

Full Story

Local Government Lawyer, 30th January 2020

Source: www.localgovernmentlawyer.co.uk

Adriatic Land 1 (GR3) Limited v Miller & Others – Tanfield Chambers

Posted January 28th, 2020 in insolvency, landlord & tenant, leases, news, service charges by sally

‘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.’

Full Story

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

Posted January 23rd, 2020 in company directors, company law, compensation, insolvency, news, valuation by tracey

‘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.’

Full Story

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

Posted January 13th, 2020 in company directors, costs, insolvency, limitations, liquidators, news, third parties by tracey

‘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.’

Full Story

OUT-LAW.com, 10th January 2020

Source: www.pinsentmasons.com

Barristers to lose out from Iraq claims firm’s liquidation – Legal Futures

‘Barristers instructed by now-defunct Birmingham law firm Public Interest Lawyers (PIL) are set to lose out significantly from its liquidation, although its collapse may yet spark legal action, it has emerged.’

Full Story

Legal Futures, 13th January 2020

Source: www.legalfutures.co.uk

Bury fight on after winding-up petition is dismissed in London court – The Guardian

Posted December 19th, 2019 in insolvency, news, sport, taxation, winding up by sally

‘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.’

Full Story

The Guardian, 18th December 2019

Source: www.theguardian.com

Out-of-hours Administration Appointments: The SAGA continues – Guildhall Chambers

Posted December 10th, 2019 in administrators, insolvency, news, notification, service by sally

‘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”).’

Full Story

Guildhall Chambers, 2nd December 2019

Source: www.guildhallchambers.co.uk