Interim orders and individual voluntary arrangements (IVAs)
Produced in partnership with David Nicholls of Landmark Chambers

The following Restructuring & Insolvency practice note produced in partnership with David Nicholls of Landmark Chambers provides comprehensive and up to date legal information covering:

  • Interim orders and individual voluntary arrangements (IVAs)
  • Coronavirus (COVID-19)
  • What is an interim order?
  • What steps need to be taken to obtain an IO?

Interim orders and individual voluntary arrangements (IVAs)

Coronavirus (COVID-19)

This content contains guidance on subjects impacted by the Coronavirus Act 2020 and related changes to court procedures and processes as a result of the Coronavirus (COVID-19) pandemic, including the Temporary Insolvency Practice Direction 2020. For further information, see Practice Notes: Coronavirus (COVID-19)—Changes to the court process in insolvency proceedings and The Temporary Insolvency Practice Direction Supporting the Insolvency Practice Direction (June 2021). For related news, guidance and other resources to assist practitioners working on restructuring and insolvency matters, see: Coronavirus (COVID-19)—Restructuring & Insolvency—overview.

What is an interim order?

An interim order (IO) is a court order that prevents legal proceedings being commenced or continued against a debtor who wishes to put forward a proposal for an individual voluntary arrangement (IVA). This includes preventing a creditor from presenting a bankruptcy petition. It is no longer necessary to obtain an IO in order to make an IVA proposal.

The purpose of the IO is to give the debtor time to formulate the arrangement free from harassment and demands by the debtor’s creditors. It is akin (although not identical) to the statutory moratorium that arises in other forms of the insolvency process (eg administration). In particular, for as long as the IO is in force, it has the effect that:

  1. a bankruptcy petition may not be presented and, if one has been

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