Over the last 12 months, global markets have been amazingly resilient, indeed even buoyant, aided in large part by governments around Europe and the world providing seemingly unlimited funding and extensive financial stabilisation measures, such as quantitative easing.
This, coupled with protective legislation for companies to prevent insolvency filings and to ensure continued trading – for example, moratoriums, relaxations on insolvency filing obligations and restrictions on creditor actions – has given businesses significant breathing space and prevented widespread failures.
After Virgin Atlantic and Pizza Express achieved ‘too much consent’ and did not need cross-class cram down in the end, DeepOcean is the first judgment applying cross-class cram down as part of a restructuring plan.
The High Court has, for the first time, sanctioned a restructuring plan exercising the power to cross-class cram down. The court handed down its sanction order but noted that, as the first decision to use cross-class cram down, a reasoned judgment will follow in due course.
On 13 January 2021, the court sanctioned three interconditional restructuring plans ('the restructuring plans') for three subsidiaries of DeepOcean Group Holding BV (together with all of its subsidiaries, 'the DeepOcean Group'):
As widely blogged about, on 26 June 2020 the Corporate Insolvency and Governance Act 2020 (the Act) came into force, introducing both far-reaching wholescale reforms to the UK’s restructuring toolbox as well as temporary measures dealing with COVID-19 impacts on companies. The two most significant temporary measures for companies facing financial difficulties as a result of the COVID 19 pandemic were:
On 8 October 2020, the UK Government published draft regulations applying to sales in administration by way of a 'pre-pack' to a connected party purchaser.
UK pre-pack administrations
A pre-pack administration is where:
Good afternoon.
Following are our summaries of the civil decisions of the Court of Appeal for Ontario for the weeks of September 7 to 11 and September 14 to 18, 2020.
The past two weeks saw ten substantive decisions released by the Court of Appeal. Topics covered included bankruptcy & insolvency, contracts (freight), enforcement of letters of request by foreign courts, family law and insurance, as well as the usual procedural decisions relating to extensions of time and appellate jurisdiction.
Wishing everyone an enjoyable weekend.
Good afternoon.
Following are our summaries of last week’s civil decisions of the Court of Appeal for Ontario. Not surprisingly, it was a light week.
In March 2020, the UK government announced that changes will be made to enable UK companies undergoing a rescue or restructure process to continue trading, giving them breathing space that could help them avoid insolvency.
The legislation implementing this has now been laid before Parliament in the Corporate Insolvency and Governance Bill. This includes measures intended to tide companies through the COVID-19 pandemic, as well as far-reaching wholesale reforms to the UK’s restructuring toolbox.
Good afternoon.
Please find below our summaries of this past week’s civil decisions of the Court of Appeal for Ontario. Topics covered included insurance broker negligence, zoning (use) bylaw enforcement, the wrongful termination of a commercial lease and the automatic right of appeal of bankruptcy orders.
Good afternoon.
Following are this week’s summaries of the Court of Appeal for Ontario.
In Thistle v Schumilias, an insurer refused to pay out on a life insurance policy on the basis that the insured had failed to disclose a pre-existing medical condition. The respondent commenced an action against the insurance company and during that litigation became aware of the potential professional negligence of the insurance agent who sold the policy.