In a short, but helpful judgment the court considered whether the stay imposed by s130(2) of the IA 1986 on actions or proceedings against a company in liquidation applied to a secured creditor exercising its power of sale. In confirming that it did not, the court outlined the purpose behind that provision and considered what … Continue Reading
In the recent judgment of Brooke Homes (Bicester) Ltd v Portfolio Property Partners Ltd (and others)[1], the High Court provided further clarity on how sale proceeds should be accounted for as between the first-ranking mortgagee and a second-ranking secured creditor.… Continue Reading
Since the cases of Avanti and UKCloud we have seen more arguments around the classification of a charge – is a typical floating charge asset actually subject to a fixed charge? Is a fixed charge really floating? Much depends on the control the charge holder asserts, but we have seen some novel claims. The position … Continue Reading
Companies entering external administration often have outstanding tax filings. The external controllers appointed conduct initial and ongoing reviews as to those filings. Then, in time, they either bring the filings up to date or engage the tax office in order to revisit historical filings. Aside from being legally required to address a company’s filings, external … Continue Reading
The proposal to reinstate Crown preference in insolvency has met resistance from all angles; the insolvency profession, turnaround experts, accountants, lawyers and funders. But despite HMRC’s bold statement in its consultation paper that the re-introduction of Crown preference will have little impact on funders, it is clear following a discussion with lenders that it may … Continue Reading
