Friday 13th: An Unlucky Day For Scottish Liquidators

On 13 December 2013, the Court of Session ruled that the liquidators of The Scottish Coal Company Limited (SCC) were not able to disclaim ownership of certain open-cast mines and the environmental permits which were connected with the operation of those mines. This ruling followed an appeal by the Scottish Environmental Protection Agency (SEPA), and overturns the previous decision of 11 July 2013, in which it had been ruled that the liquidators were entitled to disclaim this property.

The liquidators had sought directions from the court as to whether they were entitled to disclaim the coal mines and the licences due to the cost of compliance with the statutory licences granted under the Water Environment (Controlled Activities) Regulations 2005 and 2011 (the "CARs") and permits issued under the Pollution Prevention and Control (Scotland) Regulations) 2000 and 2012 (the "PPCR").