Key point
The Court is prepared to look at the overall nature of a directors conduct and dissect a complex series of transactions before concluding what (if any) insolvency failings have been committed by a director.
The Facts
Key Point
Judgement provides detailed guidance on administrators making distributions in relation to EU incorporated companies.
The Facts
Key Point
Court finds equity to rescind a contract does not mean sums paid by relevant counterparties are held on constructive trust.
The Facts
Two currency exchange companies (the "Companies") were placed in creditors' voluntary liquidation, holding sums in their bank accounts with Barclays, and in their own counting houses. The liquidators made applications to determine whether the Companies held such monies on trust for their customers.
The Decision
Key points
- Section 236 (inquiry into company’s dealings) does not have extra-territorial effect
- Section 237(3) (examination) only has extra-territorial effect where appropriate machinery exists in the foreign jurisdiction
- Taking of Evidence Regulation not available where litigation not commenced or contemplated
The facts
Key Points
Mitigation of loss by a claimant does not always mean that liability under negligence claims is avoided
The Facts
Key point
The Joint special administrators of an investment banking entity succeed in obtaining a direction to allow them to distribute client assets quickly.
Facts
Key point
A statutory demand designed to achieve some connected or collateral purpose is not necessarily invalid.
The facts
Key points
The court has discretion to allow an insolvency practitioner to recover fees and costs from work done in realising assets for the benefit of a third party but it cannot be exercised where an insolvency practitioner takes action in relation to assets outside in the insolvency estate of his own accord.
The facts
Two major Slovakian construction companies, both heavily dependent on large state contracts, have recently been restructured. Both of these cases have proven that Slovakian entrepreneurs, even those who live off of public money, perceive and utilise the current regulation of the restructuring procedure as a “legally safe way” to restart their businesses and get rid of a large portion of creditors. This option is viable also in a moment, when the only solution clearly is a bankruptcy petition.
Key point
A liquidator can be held liable personally for obligations under a conditional fee arrangement.
The facts