Rely on the most comprehensive, up-to-date legal content designed and curated by lawyers for lawyers
Work faster and smarter to improve your drafting productivity without increasing risk
Accelerate the creation and use of high quality and trusted legal documents and forms
Streamline how you manage your legal business with proven tools and processes
Manage risk and compliance in your organisation to reduce your risk profile
Stay up to date and informed with insights from our trusted experts, news and information sources
Access the best content in the industry, effortlessly — confident that your news is trustworthy and up to date.
Find up-to-date guidance on points of law and then easily pull up sources to support your advice with Lexis PSL
With over 30 practice areas, we have all bases covered. Find out how we can help
Our trusted tax intelligence solutions, highly-regarded exam training and education materials help guide and tutor Tax professionals
Regulatory, business information and analytics solutions that help professionals make better decisions
A leading provider of software platforms for professional services firms
In-depth analysis, commentary and practical information to help you protect your business
LexisNexis Blogs shed light on topics affecting the legal profession and the issues you're facing
Legal professionals trust us to help navigate change. Find out how we help ensure they exceed expectations
Lex Chat is a LexisNexis current affairs podcast sharing insights on topics for the legal profession
Discuss the latest legal developments, ask questions, and share best practice with other LexisPSL subscribers
James Goodwin, barrister at Wilberforce Chambers, assesses the practical implications of the Chancery Division ruling in the latest Lehman Brothers case concerning whether the claimant company was entitled to the relief that it claimed as a creditor of the defendant.
Lehman Brothers Luxembourg Investments S.à.r.l v Lehman Brothers UK Holdings Ltd (in administration)  EWHC 617 (Ch),  All ER (D) 183 (Mar)
The Chancery Division made a ruling with regard to the solvency of the defendant company, Lehman Brothers UK Holdings Ltd (Lehmans UK), which was in administration. The court held that the solvency condition in the standard terms of three loan agreements would be satisfied in the case of the defendant. As a result, the claimant company was entitled to the relief that it claimed as a creditor of the defendant.
This case is a prime example of the utility of a Part 8 claim, the alternative procedure by which a claimant seeks the court’s decision on a question unlikely to involve a substantial dispute of fact. Often used by trustees seeking guidance, the procedure can be used effectively to obtain declaratory relief.
Where a legal issue arises, especially in respect of the interpretation of a document, and would have far-reaching effects if challenged further down the line, then a party might very sensibly mitigate the risk by seeking the court’s assistance.
The administrators of Lehmans UK had made payments (and was expected to make further payments) to its parent company, Lehman Brothers Luxembourg Investments S.à.r.l. (the parent company). These were part repayments of subordinated loans (ie a debt ranking behind other debts) made by the parent company to Lehmans UK. The sums were very large—the subordinated loans totalled around £1bn and the part repayment
Access this article and thousands of others like it free by subscribing to our blog.
Read full article
Already a subscriber? Login
Stephen qualified as a solicitor in 2005 and joined the Restructuring and Insolvency team at Lexis®PSL in September 2014 from Shoosmiths LLP, where he was a senior associate in the restructuring and insolvency team.
Primarily focused on contentious and advisory corporate and personal insolvency work, Stephen’s experience includes acting for office-holders on a wide range of issues, including appointments, investigations and the recovery and realisation of assets (including antecedent transaction claims), and for creditors in respect of the impact on them of the insolvency of debtors and counterparties.
0330 161 1234