The following Restructuring & Insolvency practice note Produced in partnership with South Square and BDO LLP provides comprehensive and up to date legal information covering:
This content is affected by the coronavirus (COVID-19) pandemic. For further details, take a look at our Coronavirus (COVID-19) toolkit. For related news, guidance and other resources to assist practitioners working on restructuring and insolvency matters, see: Coronavirus (COVID-19)—Restructuring & Insolvency—overview.
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. The new rules contained in IR 2016, SI 2016/1024, Part 17 in relation to creditors’ committees in bankruptcy replace IR 1986, SI 1986/1925, rr 6.150–6.166. For further information on the changes, please refer to Practice Note: The Insolvency (England and Wales) Rules 2016—Part 17: Changes to creditors’ and liquidation committees [Archived].
The main functions of a creditors’ committee in a bankruptcy are:
to fix the trustee in bankruptcy’s (trustee) remuneration and
to inspect financial and other records relating to the administration of the bankruptcy estate submitted to the committee by the trustee
If the committee is not satisfied with the contents and results of the information, it may inform the Secretary of State.
In addition to any functions conferred on a committee by any provision in IA 1986, the committee is also to assist the office-holder in discharging the office-holder’s functions and act in relation to the office holder in such manner
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
What is rescission of a contract?The remedy of rescission is available to a party whose consent, in entering into a contract, has been invalidated in some way:•the effect of rescinding a contract is to extinguish it and restore the parties to their pre-contractual positions•the main grounds of
Tipping off and prejudicing an investigationIt would undermine the benefit to the authorities if, a suspicious activity report (SAR) having been made, the alleged offender were to be made aware of the interest in their activities so that they could take steps to cover up their misdeeds or disappear.
An ad hoc arbitration is any arbitration in which the parties have not selected an institution to administer the arbitration. This offers parties flexibility as to the conduct of the arbitration, but less external support for the process. It can be quicker than institutional arbitration but not if
STOP PRESS: The Corporate Insolvency and Governance Act 2020 contains provisions which, on a temporary basis (presently until 31 December 2020) impose significant limitations on the ability for a creditor to seek a winding-up order against a company. For further reading, see Practice Note: Corporate
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.