In tonight’s UK Government briefing the Business Secretary announced changes to UK insolvency law to be introduced at the earliest opportunity.
Legal Insights & Industry Updates
Life, business and the law
The law never stands still, and the way it applies to you and your organisation is constantly evolving. Our people are on top of these developments and can keep you up to date with some of the most interesting aspects of these changes. Check out our articles and updates for our perspective on issues that might affect you.
Latest articles from Gordon Hollerin
A gratuitous alienation is a transfer of property from a debtor to another party for no consideration or an inadequate consideration. A recent Supreme Court ruling found that a series of conveyances of properties some nine months before the sellers went into administration was an attempt to divert assets away from creditors.
Recently, the English High Court found that although the directors of a company which had entered administration had continued trading wrongfully, their actions did not increase the net deficiency of the Company. As a result the directors would not be personally liable to contribute to the Company’s assets for distribution to creditors.
Most directors' disqualification cases concern an application for the disqualification of an individual who has acted inappropriately in his duties as director of a company. However, two unusual recent cases widen the range of disqualification actions usually seen in the UK courts.
In BXL Services, an English High Court decision of 10 July 2012, Judge Purle has stated that it is now "settled law" that a failure by directors to notify the Company of their intention to appoint administrators does not result in the appointment being invalid