Elevate sought to restrain advertisement of a petition founded on rent arrears exceeding £836,000, later rising to more than £1.1 million, and sought a validation order under s.127 Insolvency Act 1986. It contended that substantial payments had not been credited and advanced a repair-related cross-claim exceeding £330,000.
The court rejected both arguments. The alleged "uncredited payments" were unparticularised, with no accounting records or other evidence identifying omitted payments. Equally, the purported cross-claim rested on internal documents unsupported by contemporaneous invoices, contractual entitlement or evidence that the works had been carried out. The only documented repair issues were worth approximately £18,000.