Nicola Sharp of Rahman Ravelli outlines a recent judgement that allowed a dissolved company to seek an order.
The judgement in the case of Yuzu Hair and Beauty Ltd (Dissolved) v Selvathiraviam [2019] is the first time that the High Court in England has given permission for a company that has been dissolved to apply for a freezing order.
The dissolved company applied for the continuation of a freezing order against its accountant. It had alleged that fraudulent activity by the accountant had led to the company being struck off the register at Companies House.
Today’s list of winding up petitions has been adjourned for a minimum of three months with petitions being re-listed for June, July and August. ICC Judge Mullen recited in his order that having considered the Protocol for Remote Hearings dated 20th March 2020 and the LCJ’s Review of Court Arrangements due to COVID-19 dated 23rd March 2020, he has concluded that the list “cannot presently be conducted remotely” and that “satisfactory arrangements to ensure safety cannot be put in place”.
Background
On 6 March 2020, the restructuring of Doncasters Group's 1.22 billion funded debt was completed. Following a successful non-core disposals program, the Doncasters Group (a leading worldwide supplier of high quality engineered components for the aerospace, industrial gas turbine and specialist automotive industries) operates from 12 principal manufacturing facilities based across the United Kingdom, the United States, Germany, Mexico and China.
Those who have had experiance with making office-holder remunerastion applications to court will know jow tedious and difficult they
International insolvency regulates the treatment of financially distressed debtors where such debtors have assets and liabilities in more than one country. Usually, international insolvency has more to do with the insolvency of companies that operate in more than one country rather than the personal bankruptcy of individuals.
In the recent case of Signature Living Hotel Limited v Andrei Sulyok Roxana Monica Cocarla [2020] EWHC 257 (Ch), 2020 WL 00929732 the High Court considered whether two deeds of guarantee which failed as deeds (because the formalities for a deed had not been complied with) remained enforceable as a matter of contract.
In last week's Government budget, the Chancellor of the Exchequer confirmed that Crown preference would return but that this would be delayed to 1 December 2020. We previously wrote about Crown preference in November 2018 when the Government first suggested its return. That post, which is available here, is a handy summary of what Crown preference is and its impact on secured creditors.
Introduction
Last September we reported on the Court’s decision on the landlords’ challenge to the Debenhams CVA on grounds of unfair prejudice and material irregularity, in respect of which the landlords have now successfully obtained permission to appeal on various grounds (see below).
A recent English case has considered for the first time whether and if so to what extent the general duties of a director survive a company’s entry into an insolvency process.