It is so obvious to say, but suppliers want to be paid for the goods or services they supply, and we are living in highly uncertain times with suppliers increasingly concerned about the ability of customers (or clients) to pay.
A new law recently came into force that has major implications for suppliers and what they can include in their contracts to protect themselves. Suppliers need to review and update their existing and new contracts as a result.
What Does the New Law Do?
On the 26 June 2020, The Corporate Insolvency and Governance Act 2020 (the Act) officially came into force, giving companies breathing space to continue to trade through the pandemic and avoid insolvency
Many of these changes will be welcomed by trustees of incorporated charities. Here’s what you need to know for charitable companies and charitable incorporated organisations (CIO's), which are 'eligible bodies' for this purpose:
On 23 April 2020, the Government announced proposed measures to restrict the use of statutory demands and winding up petitions during the coronavirus (COVID-19) pandemic. These were finally presented to Parliament on 20 May 2020
On Saturday 28 March 2020, the Business Secretary, Alok Sharma, announced two measures to help charities during the coronavirus (COVID-19) outbreak. Both measures are primarily relevant to charitable companies
We await further details of both proposals.
These are:
On Saturday 28 March, the Secretary of State for Business Energy and Industrial Strategy announced changes to the insolvency regime with the aim of keeping viable companies trading through the unprecedented challenge of the COVID-19 pandemic.
On Saturday 28 March, the Secretary of State for Business Energy and Industrial Strategy announced changes to the insolvency regime with the aim of keeping viable companies trading through the unprecedented challenge of the COVID-19 pandemic.
While the next few months may be uncertain for UK business in light of coronavirus (Covid-19), the mantra of "business as usual" will continue to apply to (most) organisations, and this may include carrying out a restructure of it.
What Is a Restructure?
In the context of a company or business, a restructure usually involves making changes in respect of its ownership, structure or assets.
The reasons for carrying out a restructure often include:
Covid-19 - the What, Why and Where?
Over recent weeks, all of us have had to grapple with the potential impact of the current severe strain of 'Coronavirus' known as 'Covid-19' and the impact it may have on us, our families and our businesses.
Although the position in the UK is changing rapidly, directors should think seriously about how they might mitigate the risks associated with the inevitable business disruption in the coming weeks and months.
What It Means For Businesses In the UK
In a recent case the High Court has addressed how Company Voluntary Arrangements affect landlords when balancing the needs of a commercial tenant to restructure its debts.
In September 2019, Debenhams Retail Limited entered into a Company Voluntary Arrangement (CVA) with its creditors, with the aim of restructuring its debts. The CVA contained a number of provisions affecting Debenhams' landlords (themselves potentially creditors) in respect of its various department store leases.