Q&As

Can a defendant bring a Part 20 counterclaim against an additional party where that additional party is a limited company subject to a company voluntary arrangement, or is there a prohibition against Part 20 counterclaims against insolvent companies?

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Produced in partnership with Phillip Patterson of Gatehouse Chambers
Published on: 25 October 2021
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This question is asked in the abstract and without reference to any specific set of proceedings or identified company voluntary arrangement (CVA). It is also not stated at what stage of the proceedings the intention to bring the Counterclaim has arisen.

CPR 20 covers a number of distinct types of additional Claim, as set out in CPR 20.2(1):

‘…(1) This Part applies to—(a) a counterclaim by a Defendant against the claimant or against the claimant and some other person; (b) an additional claim by a defendant against any person (whether or not already a party) for contribution or indemnity or some other remedy; and (c) where an additional claim has been made against a person who is not already a party, any additional claim made by that person against any other person (whether or not already a party).’

The

Phillip Patterson
Phillip Patterson

Phillip has a wide-ranging commercial and insolvency practice with experience of high-value and complex disputes.

He has particular expertise in technical company law issues, which makes him a popular choice for claims involving allegations of mismanagement and breach of duty as well as shareholder disputes. Phillip handles a wide variety of banking and financial services disputes where his postgraduate qualification in banking law gives him a decided edge. A significant proportion of Phillip's current and recent work concerns corporate and personal insolvency, a field in which Phillip is fast becoming a go-to junior for a range of matters.

Phillip also has experience of consumer contract issues, professional negligence claims and a variety of private client disputes.

Phillip regularly contributes to a number of academic and professional publications, providing topical insights into matters across his areas of practice. He is also current an editor of the volume of Atkin's Court Forms on Corporate Insolvency.

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Jurisdiction(s):
United Kingdom
Key definition:
Defendant definition
What does Defendant mean?

A person against whom a claim is brought.

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