In Franses v Al Assad – Butterworths Law Direct 26.10.07 a freezing order was granted against the first respondent, principally in respect of £6.5m that formed part of the proceeds of sale of a property that had allegedly been owned by him. The first respondent applied to discharge the freezing order.
In Samsun Logix Corporation v Oceantrade Corporation; Deval Denizeilik VE Ticaret A.S. v Oceantrade Corporation and another – Butterworths Law Direct 18.10.07 the Defendant in both cases was subject to Chapter 11 proceedings in the US.
The lengthening of the restoration period for dormant companies may make a solvent liquidation an attractive option for some companies. James Stonebridge examines the impact of changes introduced under the Companies Act 2006.
The judgment of the Commercial Court in WASA and AGF v Lexington shows that a “follow settlements” clause in a reinsurance contract will not obviate the need for the reinsured to demonstrate that an inwards settlement falls within the terms and conditions of its outwards reinsurance. Partner Michael Mendelowitz reviews the judgment.
Following the House of Lords' decision in Melville Dundas in April, the TCC has now decided in the case of Pierce Design v Johnston on 17 July that the case has a wide application - but unreasonable failure to pay may still be penalised.
The decision of the House of Lords in Melville Dundas in April resolved a tension between the payment provisions of the Housing Grants, Construction and Regeneration Act 1996 ("the Act") and contractual clauses applying to payments after termination of building contracts.
The House of Lords has had some important things to say about receivers’ liability in tort, and the law of conversion.
In the recent case of OBG Ltd v Allan, the House of Lords has ruled on key aspects of economic torts and the law of conversion (that is to say, the wrongful dealing with property in a way that is inconsistent with the owner’s rights). The law lords decided that the receivers should not be held liable for the damage which a company may have suffered as a result of the loss or underrealisation of business contracts.
Ohio-based, 102-year-old automobile parts manufacturer Dana Corporation and 40 of its subsidiaries filed for chapter 11 protection in the U.S. in March 2006. Dana’s operations, however, extend well beyond the borders of the U.S. — the company has 46,000 employees in 28 countries. Integrating a complex restructuring of Dana’s U.S. operations in chapter 11 with Dana’s extensive operations and obligations abroad has posed some unique challenges to Jones Day’s restructuring professionals.
In September 2003, PRG Powerhouse Limited bought the Powerhouse business and its leases. As a condition of the sale, the landlords of various stores accepted a guarantee from Powerhouse’s parent company in respect of Powerhouse’s obligations under the leases.
Summary
The Pensions Regulator intends to issue its first financial support direction (FSD) against the Bermudan-based Sea Containers Limited (SCL), which is currently restructuring under the US Chapter 11 bankruptcy process.
The Accountancy Investigation & Disciplinary Board (AIDB) has launched an investigation into the conduct of certain members of professional accountancy bodies who were involved in the events leading to the collapse of European Home Retail plc and Farepak Food & Gifts Ltd which left 150,000 customers short of £40m in hamper savings.