The UK Corporate Insolvency and Governance Act 2020 (CIGA) introduced temporary measures to provide companies with the flexibility to continue trading during COVID-19. CIGA also enacted a package of permanent measures to maximise the survival prospects of viable companies.
The reforms implemented through CIGA are the most significant change to the UK’s corporate insolvency regime in 20 years. This article looks at how those reforms have taken shape over the last three years, with reference to the Insolvency Service's Post-Implementation Review of CIGA.
The Insolvency Service has published its official three-year Post Implementation Review of the Corporate Insolvency and Governance Act 2020 (CIGA). The Review focused on the three permanent measures:
In this week’s TGIF, we consider Jahani, in the matter of Ralan Property Services Pty Ltd (receivers and managers appointed) (in liq) [2023] FCA 738, a Federal Court decision approving the liquidators’ entry into funding agreements.
Key takeaways
Companies are under increasing pressure to examine their ESG policies, particularly after the recent COP26 conference. The UK's commitment to achieving net-zero emissions by 2050 has intensified the ESG focus.
What is ESG?
ESG, or Environmental, Social and Corporate Governance, is a term used to describe a set of standards that measures a business' environmental and social impact.
Why is ESG important in a distressed restructuring?
In this week’s TGIF, we consider the Court of Appeal’s decision in Anchorage Capital Master Offshore Ltd v Sparkes [2023] NSWCA 88 and the challenges faced by lenders in accepting representations as to solvency and the financial position of borrowers.
Key takeaways
On 11 November 2022, the English High Court handed down judgment in relation to a number of applications made by the insolvency officeholders of 10 UK energy suppliers, seeking clarification on issues arising in the insolvencies which had not previously been considered by the courts.
Background
The officeholders sought directions from the court on the following:
whether the claims in the insolvencies by UK energy regulator, Ofgem relating to outstanding renewables obligation payments (ROPs) were valid, and
This week’s, TGIF considers the Court of Appeal’s decision in Westgem Investments Pty Ltd v Commonwealth Bank of Australia Ltd [2022] WASCA 132, handed down on 4 November 2022 in favour of the Commonwealth Bank of Australia Ltd and Lloyds Banking Group (Financiers).
Key takeaways
This week’s TGIF considers a recent case where the Supreme Court of Queensland rejected a director’s application to access an executory contract of sale entered into by receivers and managers on the basis it was not a ‘financial record’
Key Takeaways
This week’s TGIF looks at the decision of the Federal Court of Australia in Donoghue v Russells (A Firm)[2021] FCA 798 in which Mr Donoghue appealed a decision to make a sequestration order which was premised on him ‘carrying on business in Australia' for the purpose of section 43(1)(b)(iii) of the Bankruptcy Act 1966 (Cth) (Act).
Key Takeaways