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Key points

  • Information obtained by compulsion can be shared between officeholders of connected estates (parent/subsidiary)

  • There must, however, be a possibility that there will be a surplus in the subsidiary estate

  • The prospect must be real as opposed to fanciful

The facts

Venezuela’s initiative is unlikely to set the stage for a restructuring of international obligations in the face of US sanctions.

Key Points:

• US sanctions will prohibit US persons from engaging in a restructuring of Venezuela and PdVSA debts that includes the issuance of “new” long term debt.

• Creditors should expect that enforcement action will follow a default. The outcomes of that enforcement action will affect all stakeholders, whether or not they participate.

Restructuring Announcement

Key points

  • Court reiterated circumstances in which it will sanction a proposed course of action by administrators

  • Requirement that the course of action be “particularly momentous”

  • Court sanctioned proposed settlement in the circumstances

The Facts

Key Points

  • Floating charge is valid even where there are no unencumbered assets at the time it is taken
  • Crystallisation of prior ranking floating charge does not impact enforceability of second ranking floating charge

The Facts

Key Points 

  • Directors cannot file a notice of intention to appoint (NoI) without a ‘settled intention’ to appoint an administrator
  • NoIs cannot be used where there is no qualifying floating charge holder (QFCH)
  • The judgment has implications for validity of appointments where requirements not met

The Facts

Key Points 

  • Claims against Kaupthing could not be pursued in the English courts
  • No implied restriction on jurisdictional effect under the Winding-up Directive
  • Position analogous to Judgments Regulation and Insolvency Regulation

The Facts

Key Points

  • COMI of Jersey companies held to be in England and Wales 
  • Argument of improper motive generally insignificant where purpose of administration can be achieved

The Facts