The EAT has held that employees of a business will transfer to the buyer of that business, even where the business is in administration, as long as there has been a 'relevant transfer'.
Introduction
The restructuring practice often calls for creative solutions, especially when the stakes are high and the debtor is in serious financial distress. Many restructuring lawyers have at times faced the question of whether it is possible for a debtor to transfer assets to a creditor subject to the condition precedent of the debtor being declared bankrupt.
From 1 January 2011 the Insolvency Service has put the following changes into effect:
The Official Receiver (OR), as trustee of the bankruptcy estate, will no longer dispose of a bankrupt’s interest in a family home until two years and three months after the bankruptcy order is made, except if an offer is received which is in the creditors’ interests to accept.
At two years and three months a review will begin. In cases where the bankrupt’s interest in the property is valued at less than £1,000, steps will be taken to revest the property interest in the bankrupt.
There are various routes by which a company may enter administration. The most common is an appointment by the directors. Alternatively, the holders of a qualifying floating charge may appoint or an application may be made to the court by one or more creditors.
On March 8 2010 the Amsterdam District Court dismissed an application by the administrators of the Dutch branch of Landsbanki hf to extend the term of the emergency regulations that had been declared applicable to the Dutch branch by the court on October 13 2008.(1) As a result, the regulations ceased to apply on March 13 2010.
Facts
The Limitation Act 1980 prescribes various periods of time in which a claim must be brought. In the event that this is not undertaken within the specified period, the cause of action will be statute barred and as such unenforceable.
In the case of a simple contract, the period is six years and in general begins to run from the date on which the cause of action accrued. In order to 'stop the clock', proceedings (a claim) will have to be brought.
The appointment of an administrator over the Connaught Group is expected any day. Many housing associations will have employed Connaught to carry out maintenance services under the JCT measured term contract or similar. These contracts contain specific provisions for the steps to follow if an administrator is appointed over the contractor (or some other form of insolvency).
Introduction
Introduction
The credit crisis has led to many opportunities for financial and strategic buyers to purchase all or part of a business or assets from financially troubled companies at significantly discounted prices. In such deals, buyers run the risk that the transaction may be set aside on the basis of voidable preference rules (the so-called 'actio pauliana').
On September 23 2009 the Amsterdam District Court granted the holder of a pledge over the shares in the capital of Schoeller Arca Systems Services BV authorization for foreclosure on the pledge by way of a private sale. Foreclosure on a pledge over Dutch shares is rare. The decision introduces the possibility for a secured lender either to wipe out subordinated mezzanine debt or to implement a loan-to-own strategy.
Facts
In 2007 Schoeller Arca Systems, its parent and subsidiaries (known as the SAS Group) entered into: