This note aims to: • provide practical guidance to creditors owed money by a distressed/insolvent company • explain the position of creditors in most types of corporate...
This Practice Note looks at independent business reviews (IBRs) and aims to: • provide high level guidance around an IBR • identify when an IBR may be requested •...
This Practice Note has been archived and is not maintained. Introduction The Insolvency (England and Wales) Rules 2016 (IR 2016), SI 2016/1024 were published and laid...
This Practice Note sets out certain key cases and associated relevant content in relation to acceleration of debt and enforcement of security. The cases are divided by...
Administration is a procedure designed to give an entity breathing space, with a view to either a rescue or a restructure or to allow for a better outcome for all...
During the term of a facility, the borrower's financial position is likely to fluctuate. Sometimes, its circumstances change to such an extent that it wants the terms of...
Reasons for amending security documents and key risks Reasons for amending a security document There are situations where parties may consider amending security...
This Agreement is made on [insert date] Parties 1 [insert name of Borrower], a company incorporated in England and Wales with registered number [insert company number]...
[To be printed on the headed paper of the lender] [insert date] To: [insert name and address of borrower] [and] [[insert name and address of guarantor, if applicable]]...
This Agreement is made on [date] Parties 1 [insert name of Borrower], a company incorporated in England and Wales with registered number [insert company number] whose...
BREXIT: As of 31 January 2020, the UK is no longer an EU Member State, but has entered an implementation period during which it continues to be treated by the EU as a...
General duty of liquidators and administrators where there has been an unlawful transaction If, during the course of a liquidator's or administrator's investigations into...
. Avoiding floating charges—the conditions required Under section 245 of the Insolvency Act 1986 (IA 1986), there are provisions for liquidators and administrators to set...
Bankruptcy searches at the Land Charges Department When a bankruptcy petition is presented by a creditor, the court shall as soon as reasonably practicable send to the...
Brexit impact As of exit day (31 January 2020) the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an...
It's important to consider the underlying finance documents to determine the requisite majorities of creditors which can block certain actions necessary to maintain an...
Introduction This Practice Note will give a basic overview of the applicable tests for cashflow and balance sheet insolvency under section 123 of the Insolvency Act 1986...
What is subrogation? Subrogation is an equitable mechanism aimed at preventing unjust enrichment by permitting one party to ‘step into the shoes’ of another and to bring...
In December 2015, Newey J sanctioned a scheme of arrangement for part of the Spanish Codere group, in an interesting case of good forum shopping. Brexit impact As of exit...
Comfort letters are encountered in finance transactions relatively often. They take different forms and it is important from both the lender's perspective and the...
This Practice Note explains certain common financial covenants used in commercial finance transactions including: • minimum net worth test • gearing ratio • leverage...
On 6 April 2017 the Insolvency (England and Wales) Rules 2016 (IR 2016), SI 2016/1024 replaced the Insolvency Rules 1986 (IR 1986), SI 1986/1925. For a summary of the...
The UK and US secondary (private) debt trading markets are very similar when transacted on the suite of documents issued by the Loan Market Association (LMA) in the UK...
On 6 April 2017 the Insolvency (England and Wales) Rules 2016 (IR 2016), SI 2016/1024 replaced the Insolvency Rules 1986 (IR 1986), SI 1986/1925. For a summary of the...
[To be printed on the headed paper of the Guarantor] [insert date] To: [insert name and address of the lender] Dear [insert full name of lender] 1 We refer to the...
One of the initial signs of distress is usually a covenant breach by the company. The lenders may agree to a simple waiver, which cures a temporary blip in the company's...
