- Sched B1, para 52(1)(b) of the Insolvency Act 1986 (“IA 1986”). All references to “paragraph(s)” throughout this article are references to paragraphs contained in Sched B1 of IA 1986.
- It is common for a qualifying floating charge to be in the form of a debenture over all or substantially all of the company's assets.
- The Insolvency Act 2000 and its major policy change to add a moratorium to the company voluntary arrangement (CVA) by inserting Sched A1 into IA 1986 is not relevant to the scope of this article.
- S 250 EA 2002 inserted s 72A into IA 1986. The exemptions to this rule are contained in ss 72B–72G IA 1986.
- IA 1986, s 4A(2) and Insolvency Rules 1986, rule 1.20(1).
- Part 26 of CA 2006 (Mergers and Reconstructions).
- A company can appoint an Administrator by way of resolution of shareholders passed at a general meeting.
- Unless with the consent from the Administrator or with the permission of the court.
- Ch 11, §1121.
- See Little Creek Dev v Commonwealth Mortgage (In re Little Creek Dev Co), 779 F2d 1068, 1071 (5th Cir 1986).
- Ch 11, §1104(c).
- Debtor-in-possession means that the incumbent directors and management remain in control of the insolvent company's affairs whilst a Ch 11 rescue plan is being constructed and approved. This is unlike UK insolvency law where administrative receiverships and administrations involve the appointment of an external manager to oversee and manage the affairs of the insolvent company during the entire duration of the insolvency procedure.
- Ch 11, §1126.
- Ch 11, §1121(c).
- Ch 11, §1126(b).
- A copy of SIP 16 can be found at: https://www.r3.org.uk/uploads/sip/StatementofInsolvencyPractice%20-%2016%20.pdf.
Law and Financial Markets Review
Volume 4, 2010 - Issue 6