Insolvency

Office holders discharging their evidential burden

Case comment: Wood v Watkin [2019] EWHC 1311 (Ch) (Judge Barber of the High Court) The above case serves as a warning on officeholder claims and provides further clarity on the expectation of the court in relation to office holders discharging their evidential burden The Facts Karl Watkin (the “Debtor”) was a successful entrepreneur, however, …

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Liability imposed on an insolvent LLP’s members for breach of fiduciary duty and wrongful trading

McTear v Eade and anr (Re C.J. & R.A. Eade LLP (in liquidation)) [2019] EWHC 1673 (Ch), ICCJ Jones, 11 June 2019 This case, before I.C.C. Judge Jones, was the first reported case under section 214A of the Insolvency Act 1986. This provision, which relates to wrongful trading, allows the liquidator of an insolvent Limited …

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What constitutes property for the purposes of section 436 of the Insolvency Act 1986?

Where an individual is adjudged bankrupt, all his property (subject to certain exceptions) will vest in his Trustee in Bankruptcy immediately upon their appointment pursuant to section 306 of the Insolvency Act 1986 (“the Act”). “Property” is broadly defined in legislation. Section 436 of the Act defines property as ‘money, goods, things in action, land and …

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Employment Law and Administration-an interesting mix

In this interesting employment case, the Employment Appeals Tribunal (EAT) found that related claims could continue despite a stay (or suspension) of court proceedings against the employer, being a company in administration. Basically paragraph 43(6), Schedule B1, Insolvency Act 1986 states that where a company is in administration, no legal proceedings can be brought or …

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The Risks of Presenting D.I.Y Petitions

Calling all creditors! Whilst you might think the procedure for presenting a petition against a debtor is simple, it seems that the English Legal System is keeping you on your toes! The Risks of Presenting D.I.Y Petitions Recently we have had an influx of creditor client’s approaching us to assist them with the amending and …

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Costs of providing documents pursuant to Section 236 of the Insolvency Act 1986 not recoverable from the insolvency estate as the duty is a ‘public duty’

The High Court case of Harvest Finance Ltd (in liquidation) v Cannons Law Practice LLP and another [2014] EWHC 4327 (Ch) considered whether an order should be made that the costs incurred by a law firm in providing documents be met by the insolvent estate (the liquidator had applied for an order pursuant to section …

Costs of providing documents pursuant to Section 236 of the Insolvency Act 1986 not recoverable from the insolvency estate as the duty is a ‘public duty’ Read More