The Irish President has signed the Credit Institutions (Stabilisation) Act 2010 (the Act) into lrish law. The Act grants far reaching and unprecedented powers to the Irish Minister for Finance to facilitate the restructuring and stabilisation of the troubled Irish banking sector.

The Law Reform Commission (LRC) launched its Report on Personal Debt Management and Debt Enforcement, on 16 December 2010, at its Annual Conference. The Report makes 200 recommendations for reform, and also contains a draft Personal Insolvency Bill. Reform of personal debt law must be introduced next year to comply with the Government's agreement with the International Monetary Fund and the European Central Bank.

Liquidators will welcome the recent decision of the Director of Corporate Enforcement to reduce their reporting requirement in cases where a decision has been definitively made either to relieve or not relieve them of their statutory obligation to take restriction proceedings against a company's directors.

Recent attempts by the Zoe Group to seek court protection have raised the profile of examinerships. The main legal test to enter the process is: does the company have a reasonable prospect of survival. But what are the key ingredients for a successful examinership?

Last week the Supreme Court overturned Mr Justice McGovern's recent decision in the Linen Supply of Ireland examinership that the current legislation does not permit the repudiation of leases in an examinership. The case has now been remitted back to the High Court to consider whether, in the specific case before it, the leases ought to be repudiated in order for a scheme of arrangement to be formulated.

The Dáil Public Accounts Committee has issued a report which primarily examined the loss of "Fiduciary" taxes (such as PRSI and PAYE) arising from company insolvency. The Committee concluded that there is a need in Ireland to introduce further measures to reduce the amount of Fiduciary taxes that are lost due to the irresponsible behaviour of directors. There is a need, according to the report, for the introduction of a deterrent which will make directors aware of the negative consequences which could arise for them if they wilfully evade paying the company taxes that are due.

On 4 March 2009, the Office of Public Sector Information published the Bank Insolvency (England and Wales) Rules 2009 (the Rules) and accompanying explanatory memorandum. The Rules came into force on 25 February 2009 and give effect in England and Wales to the new bank insolvency procedure under Part 2 of the Banking Act 2009.

The English High Court in London Borough of Brent v Kane [2014] EWHC 4564 has held that legal advice taken in relation to various transactions which the claimant alleged had been made at an undervalue was not protected by privilege, as there was prima facie evidence that the purpose of the legal advice was to structure the transactions in order to allow the client to avoid or reduce the costs of a residential care home. 

Facts

The Court of Appeal delivered judgment on Monday morning in the much anticipated appeal in Jervis & Others v Pillar Denton & Others on the treatment of rent payable under a lease held by a corporate tenant that enters administration. The case involved the Game Administration.