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.
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
Paul Marsh, partner at Hillyer McKeown LLP, outlines a recent insolvency case, explaining the conflict at its core—whether documents that might have been subject to legal privilege could be used by trustees in bankruptcy. While this case has proved illuminating, he believes the lesson for practitioners is that the Crescent Farm principle, which would have previously been relied upon in such a case, does not apply and practitioners must take care in the future.
Re Lemos; Leeds and another (in their capacity as the joint trustees in bankruptcy of the estate of Lemos) v Lemos and others  EWHC 1825 (Ch),  All ER (D) 157 (Jul)
The Chancery Division dismissed, for the most part, an application by the trustees in the bankruptcy (trustees) of the first respondent for directions concerning the use of documents held by solicitors who had acted for the first respondent in other proceeding, and for an order, pursuant to section 366(1) of the Insolvency Act 1986 (IA 1986), requiring them to deliver up any further documents in their possession relating to his affairs.
The first respondent in the case had been made bankrupt in 2015, but was discharged in 2017.
The applicant trustees sought directions as to whether documents that had been obtained from the former solicitors of the first respondent could be used by the trustees. They obtained those documents in the discharge of their functions and the documents may have been subject to legal professional privilege. The trustees sought directions as to whether those documents could therefore be used as evidence in proceedings under IA 1986, s 423, relating to alleged transactions to defraud creditors, which were brought by the sister of the first respondent as a major creditor in his bankruptcy. The documents were likely to have been very useful in the recovery of valuable assets for the benefit of creditors. The trustees had written to
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