The Facts

The applicants were judgment creditors of a Robert Williams (Robert). They obtained a charging order against Roberts’s beneficial interest in 75% of the shares in a company in administration and eventually became full legal owners of those shares.

The Facts

In December 2015, Hart J heard (and refused) an application by Mr Golstein for revocation of a decision of 31 May 2012 passing a proposal by Mr Bishop to enter into an Individual Voluntary Arrangement (IVA). Mr Golstein, who was claiming a sum of £122,000 from Mr Bishop, appealed the decision on the basis that his claim was not correctly admitted for voting purposes and that there was material non-disclosure by Mr Bishop which led to the passing of the IVA.

The Decision

In the May 2015 edition of Pensions Priorities we reported on a case where the High Court found that an agreement dealing with the costs associated with the secondment of employees between group companies included liability for the receiving company to pay for the section 75 debt arising in relation to the seconded employees.

Long service changes

Having launched the original version three years ago, we have refreshed our Safeguarding Your Business guide as an eBook. The guide assists clients in protecting themselves either proactively or reactively in respect of a counterparty’s insolvency with new sections on trusts and examples of how we have helped, using some of the principles raised.

I can show that a company is insolvent and that it is reasonably likely that the statutory purpose can be achieved. I can have an administration order, right? Eh, actually no.

Creditors issued applications for administration orders against two hotel-owning companies. The companies sold hotel rooms as leases, which provided for repurchase in certain circumstances.

An attempt to rely on Libyan sanctions as a reason not to pay a debt due fails.

The creditor lent money to a company, guaranteed by the debtor. There was no dispute that the debtor owed the debt, but the debtor contended that to pay it would contravene sanctions in place against Libya. He applied, albeit five months out of time, to set aside a statutory demand served on him for the debt.

At first instance, the Judge granted an extension of time in respect of the set aside application and also set aside the statutory demand, agreeing with debtor’s position.

Richards J provided directions on issues brought forward by administrators including:

• the treatment of interest

• in the context of various provable and non-provable debts.

The newest in the series of judgments to deal with interest arising out of creditors’ claims in the administration of Lehman Brothers International (Europe) (LBIE), this latest instalment sought to deal with six supplemental issues on which the administrators sought directions.

One interesting discussion related to:

Re Codere demonstrates the willingness of the court to sanction a scheme of arrangement where English law jurisdiction was purposefully sought. Unusually, the company was acquired by a foreign group and voluntarily assumed the group’s financial liabilities, solely for the purpose of invoking the jurisdiction of the English courts in relation to the scheme. In the light of this decision and the changing Brexit landscape this article considers the effect on the ability of foreign companies to forum-shop.

Summary

Bankruptcy in Vietnam applies to enterprises (including foreign invested enterprises), co operatives and co operative unions (hereafter collectively referred to as enterprises). Unlike certain countries, this does not apply to individuals.

Bankruptcy Law

Bankruptcy procedures are governed by the Law on Bankruptcy No. 51/2014/QH13 which came into effect on 1 January 2015: