The High Court has ruled in the case of Goldacre (Offices) Limited v Nortel Networks UK Limited (in administration) [2009] that rent for premises that continue to be used for the beneficial outcome of an administration must be paid as an expense of the administration. This decision confirms that the court has no discretion in these circumstances and that it does not matter if only part of the premises are being used. This contrasts with the position where a landlord wishes to take action against a tenant in administration such as bringing forfeiture or injunction proceedings.
United Kingdom, Insolvency & Restructuring, Litigation, Real Estate, Herbert Smith Freehills LLP, Unsecured debt, Injunction, Landlord, Leasehold estate, Asset forfeiture, Court of Appeal of England & Wales, High Court of Justice (England & Wales)