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Are you making progress? The Scottish court provides helpful pointers to English administrators seeking to extend on the content of progress reports

Although the case of Anthony John Wright and Alastair Rex Massey vs. Scottish Court of Session [2024] CSOH 105 is (as the name suggests) a Scottish decision, there are several takeaways from the case relating to the content of progress reports, which could usefully be applied and followed by English practitioners when making their own application.  … Continue Reading

(UK) Revolution Bars: When is a meeting really a meeting?

In his judgment to sanction the restructuring plan (“RP”) of Revolution Bars[1], Justice Richards proceeded on the basis that the Class B1 Landlords and the General Property and Business Rate Creditors were dissenting classes, notwithstanding that they approved the Plan by the statutory majority. This is because they did not approve the Plan at “meetings”, … Continue Reading

Recovering costs for dealing with fixed charge assets – lessons for practitioners and security holders (UK)

The decision handed down in Pagden and another v Ridgley [2024] EWCH 3047 (Ch) is a helpful clarification on whether agreed costs and expenses incurred by an office-holder in the context of dealing with assets which are subject to a fixed charge in an administration or liquidation, are capable of subsequent challenge under rule 18.34 … Continue Reading

Will UK businesses face supply chain challenges now Trump is in office?

Throughout his 2024 campaign, President Donald Trump vowed that if re-elected, he would address unfair trade practices, rebalance trade relationships, and fund other economic proposals through new and expanded tariffs. With his return to the White House, the world is grappling with a complex web of international trade risks and potential opportunities in 2025. President … Continue Reading

I have the power – UK court confirms the ability of sole directors to make decisions

Following the decisions in Fore Fitness and Active Wear – where the court examined the validity of decisions made by a sole director of a company that operated wholly or partly under the Model Articles[1]– the position was not entirely settled. In the context of administration appointments where the validity of an appointment rests on … Continue Reading

(UK) When Will a s.236 Application Fail?

The powers of investigation afforded to office-holders under s. 236 of the Insolvency Act 1986 are there to enable the court to help an office-holder discover the true facts concerning the affairs of a company, its trading and dealings, to allow the office-holder to complete their function. These powers are wide reaching and include compelling … Continue Reading

UKCloud – An Addition to the ‘Avanti’ and ‘Spectrum’ Trilogy on Fixed and Floating Charges

Earlier this year ICC Judge Baister handed down judgment in the case of UKCloud Ltd, building on the decision in Avanti[1] by providing further analysis around the distinction between fixed and floating charges – following a dearth of caselaw on the point since Spectrum.[2] This blog pulls together some of the key messages and practical … Continue Reading

(UK) Are preferential creditors unsecured creditors?

It seems like s248 of the Insolvency Act 1986 (“Act”) is flavour of the month with the judiciary at the moment, with two recent cases analysing this in the context of administration extensions (read our previous blogs here and here ) and now a further decision considering this in the context of converting an administration … Continue Reading

Reflections on The UK Pensions Regulator’s (TPR) Powers that could see Insolvency Practitioners facing £1million fines

There is a tension between UK insolvency and pensions laws. Put simply, this is because insolvency laws look to protect all of the company’s creditors, but pension laws seek to protect the interests of the pension creditors alone. When new offences and criminal sanctions were introduced in 2021 enabling TPR to issue fines of up … Continue Reading

(UK) Should we all be a bit more relaxed about procedural hiccups in notices appointing administrators?

As practitioners we pour over notices of intention to appoint (NOIA) and notices of appointment of administrators (NOA) to make sure every detail is accurate.  Why? Because no one wants to risk an invalid appointment because there was a minor mistake or error that was overlooked.  Understandably errors occur, particularly when the appointment of administrators … Continue Reading

(UK) The Court Considers the Question of Whether Secured Creditor Consent is Required to an Administration Extension Again. “Too Good” to be True?

No, it isn’t.  We now have two cases where the Court has decided that the consent of paid secured creditors is not required when extending an administration under para. 78 of Schedule B1 of the Insolvency Act 1986 (the “Act”). In Boughey & Anor v Toogood International Transport and Agricultural Services Ltd [2024] EWHC 1425 … Continue Reading

(UK) What practical changes can IPs expect from the proposed amendments to FCA guidance?

The UK Financial Conduct Authority (FCA has issued a consultation about proposed changes to its Guidance for Insolvency Practitioners.  The aim is to clarify existing guidance and provide more information to insolvency practitioners (IPs) on how to deal with regulated firms. The proposed amendments (shown as track changes in this document) intend to update the … Continue Reading

UK Litigation Funding post PACCAR – Tying up Loose Ends

Last year we discussed the impact of funding insolvency litigation following the Supreme Court decision in PACCAR where the court found that litigation funding agreements (LFAs) were damaged based agreements.  This meant that unless LFAs complied with the Damages Based Agreements Regulations 2013 (DBA Regulations), they were unenforceable.  Although concluding that the outcome of the … Continue Reading

Update for Insolvency Practitioners on UK Companies House Filings

Following our previous alert, in which we highlighted an issue with entries relating to registered security maintained at Companies House being incorrectly updated to indicate that they had in fact been discharged without the awareness of the relevant company or security holder, it appears that some (potentially all) unauthorised filings have been – or are in … Continue Reading

Quick Guide to Administration (UK)

For those unfamilar with the various insolvency processes it is not always easy to differentiate between them. In our latest insight we have produced a quick guide to administration that explains the procedure, benefits and effect of administration on third parties, including employees, suppliers and landlords. Our quick guide also explains the administrator’s role and … Continue Reading

Members Voluntary Liquidations (MVL) – Update

In recent months, there have been a few changes regarding MVLs which we have set out in this insight as a helpful reminder to practitioners.  Our insight considers the changes to filing statements of solvency, comments on the practice of remote swearing those statements and highlights the change in policy regarding clearance letters from HMRC.… Continue Reading
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