Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 08 OCTOBER 2021

Insolvency Insight - Issue 5 | September 2021

Quadrant Chambers
Quadrant Chambers
Contributor
Explore more from Quadrant Chambers

Welcome to the next edition of the insolvency insight bulletin from the insolvency specialists at Quadrant Chambers. All cases link to the relevant judgments.

United KingdomInsolvency/Bankruptcy/Re-Structuring
Nicola Allsop
Nicola Allsop
Emily Saunderson
Emily Saunderson

Overview

Welcome to the next edition of the insolvency insight bulletin from the insolvency specialists at Quadrant Chambers. All cases link to the relevant judgments.  

Author: Nicola Allsop

Editors: Nicola Allsop and Emily Saunderson

Legislationu6

  • The Corporate Insolvency and Governance Act 2020 (Coronavirus) (Amendment of Schedule 10) Regulations 2021 (the "Schedule 10 Regulations") came into force on 29 September 2021, amending Schedule 10 of CIGA. They are currently due to be in place from 1 October 2021 to 31 March 2022 (the "Relevant Period").
  • The Schedule 10 Regulations do not contain any restrictions on statutory demands but impose four conditions (the second and third of which may be varied on a creditor's application) during the Relevant Period on the presentation of winding up petitions by a creditor on the grounds of inability to pay debts:

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Woodville Collapse And Regulatory Reform – Litigation Funding In The Spotlight

The collapse of Woodville Consultants Ltd has exposed significant vulnerabilities in the rapidly expanding litigation funding market, which operates largely outside mainstream financial regulation. With nearly £300 million owed to retail investors and questionable lending practices to law firms, the case raises critical questions about investor protection, regulatory oversight, and the future balance of power in funded litigation.
United KingdomInsolvency/Bankruptcy/Re-Structuring
RPC
RPC
Article

A Guide To Misfeasance Claims Against Directors

Directors of insolvent companies may face misfeasance claims when liquidators or administrators investigate potential misuse of company funds, breaches of fiduciary duties, or prioritizing personal interests over creditors. Understanding the legal framework under section 212 of the Insolvency Act 1986, common allegations, and available defenses is crucial for directors navigating these serious investigations that can result in personal liability and disqualification.
United KingdomInsolvency/Bankruptcy/Re-Structuring
Weightmans LLP
Weightmans LLP
Article

Hunkemöller: English Court Stays Liability Management Exercise Litigation Pending Judgment In Parallel New York Proceedings

The English High Court has stayed proceedings challenging Hunkemöller's liability management exercise pending judgment in related New York litigation. This decision examines the limitations of multi-jurisdictional litigation strategies in cross-border restructurings and the enforceability of exclusive jurisdiction clauses for beneficial noteholders. The ruling provides critical guidance on the sequencing of claims across different jurisdictions when challenging complex liability management exercises.
United KingdomInsolvency/Bankruptcy/Re-Structuring
A&O Shearman
A&O Shearman
Article

What Is An Individual Voluntary Arrangement (IVA)? A Guide For Debtors And Creditors

An Individual Voluntary Arrangement (IVA) is a formal debt solution that allows individuals to repay creditors through affordable monthly payments over five to six years, with remaining balances typically written off. This legal alternative to bankruptcy requires approval from creditors holding at least 75% of the debt value and is supervised by a licensed insolvency practitioner throughout its duration.
United KingdomInsolvency/Bankruptcy/Re-Structuring
Tees Law
Tees Law
Article

High Court Rules That Administrators May Be Able To Pay Administration Expenses And Litigation Funding Ahead Of “super Priority” Moratorium Debts

The High Court has determined that administrators can enter into litigation funding arrangements allowing funders to be repaid from litigation proceeds ahead of moratorium debts with "super priority" status, provided this aligns with the administration's purpose and the administrators' duties. This ruling addresses a critical question about the interplay between protected moratorium creditors and the practical realities of funding litigation in insolvency proceedings.
United KingdomInsolvency/Bankruptcy/Re-Structuring
Herbert Smith Freehills Kramer LLP
Herbert Smith Freehills Kramer LLP
Article

Mental Health Moratorium Fails To Block Receiver Sale

The High Court has clarified the interaction between mental health crisis moratoriums under the Debt Respite Scheme and secured lending enforcement. When property security covers a company's debt rather than an individual's personal liability, receivers can proceed with sales despite the moratorium. This decision provides crucial guidance for insolvency practitioners and lenders navigating the complex intersection of mental health protections and security enforcement.
United KingdomInsolvency/Bankruptcy/Re-Structuring
Mills & Reeve LLP
Mills & Reeve LLP
Article

Enforcing Security: Court Of Appeal Warns On ‘improper Purpose’ In Administrator Appointments

The Court of Appeal's decision in Glint Pay Ltd v Baker examines whether secured lenders can appoint administrators when their primary motive is a hostile takeover rather than debt recovery. This case explores the boundaries of legitimate enforcement action, particularly when a company remains solvent before acceleration, and considers whether an appointment made for a solely improper purpose can be challenged and set aside.
United KingdomInsolvency/Bankruptcy/Re-Structuring
Gateley Legal
Gateley Legal
Article

Trafigura PTE Ltd V Société Nationale De Raffinage

In a significant commercial dispute, Trafigura secured a final mandatory anti-suit injunction compelling SONARA to discontinue proceedings in Cameroon that sought to suspend payment under a Letter of Credit following a quality dispute. The case centered on whether SONARA's Limbe court proceedings fell within an exception to an exclusive English jurisdiction clause for interim relief, or whether they improperly attempted to subvert the agreed 'pay now, argue later' risk allocation mechanism.
United KingdomLitigation, Mediation & Arbitration
Quadrant Chambers
Quadrant Chambers
Article

Closing The Books And Clearing The Decks - The Taikoo Brilliance [2026] EWCA - Chris Smith KC & Maya Chilaeva

The Court of Appeal has resolved two previously undetermined questions under the Hague/Hague-Visby Rules: whether proceedings brought solely to obtain security constitute a "suit" for time bar purposes, and what must be stated on a bill of lading for cargo to qualify as "deck cargo" excluded from the Rules' application. These issues arose in a dispute over alleged misdelivery of timber cargo aboard the TAIKOO BRILLIANCE.
United KingdomTransport
Quadrant Chambers
Quadrant Chambers