“He can always see where a deal can be cut to secure recoveries cost effectively” “Nick is a very well-known and highly successful practitioner” “He has a thorough, encompassing and determined approach to cases”
Questions & Answers
The High Court has rejected a landlord's challenge to the Caffè Nero CVA, giving support to the ongoing usefulness of CVAs in high street restructurings. The case raised issues around the use of the electronic decision procedure set out in the Insolvency Rules for CVAs, nominee and director decision-making during the CVA process, CVA modifications and provision of information to CVA creditors.
Background
Death does not release an individual from their debts and liabilities, nor does it allow transactions made to loved ones to escape challenge. This is so regardless of whether the transactions were made with the intention to defraud creditors.
Insolvency administration orders (IAOs)
From 1 October 2021, the temporary restrictions in Schedule 10 of the Corporate Insolvency and Governance Act 2020 (CIGA) are being replaced[1].
These changes lift the current restrictions on issuing winding up petitions, and replaces them with less stringent and more refined restrictions which are due to remain in place until 31 March 2022.
“Mike is unquestionably the most experienced UK asset recovery expert focused on the offshore jurisdictions” “He is very user friendly and I have absolute confidence that his advice is based on securing the best possible outcome” “His experience on the ground in offshore jurisdictions makes him a valuable resource for any international asset recovery effort”
Questions & Answers
The Government has announced the relaxation of the rules which were put in place in order to restrict the use of winding up petitions during the coronavirus pandemic. The changes, which come into effect on 1 October 2021 and will remain in force until 31 March 2022, are likely to prompt a significant increase in the number of petitions being presented to the court given the ever-increasing level of debt that has accumulated as a result of the pandemic.
As Andrew Jones and Daniela Miklova report, the recent case of Ristorante Limited t/a Bar Massimo v Zurich Insurance plc [2021] EWHC 2538 is a useful insight into how the Court will interpret the questions and answers in insurers’ proposal forms in coverage disputes. It also shows how insurers can lose potential policy defences through the drafting of proposal form questions going wrong.
OVERVIEW
Welcome to the next edition of the insolvency insight bulletin from the insolvency specialists at Quadrant Chambers. All cases link to the relevant judgments.
Legislationu6
The High Court has today given judgment in the insolvency case of Young v Nero Holdings Ltd [2021] EWHC 2600 (Ch), determining that the company voluntary arrangement ("CVA") which was on the brink of approval by creditors was not capable of challenge by an aggrieved (yet well supported) landlord, Ronald Young.
The High Court has dismissed an application by a landlord creditor to overturn a company voluntary arrangement (CVA) implemented by coffee shop chain Caffé Nero. The CVA, previously approved by its creditors, compromised rent arrears and reduced future rents for the company's premises. The decision follows a series of previous high-profile challenges to retail and leisure CVAs.