Q&As

Is there a limit to the time frame to apply to lift a stay on proceedings? Does this differ for insolvency proceedings?

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Published on LexisPSL on 27/01/2016

The following Dispute Resolution Q&A provides comprehensive and up to date legal information covering:

  • Is there a limit to the time frame to apply to lift a stay on proceedings? Does this differ for insolvency proceedings?
  • General (ie non-insolvency specific) guidance on staying proceedings
  • Specific guidance on stays in insolvency proceedings

Is there a limit to the time frame to apply to lift a stay on proceedings? Does this differ for insolvency proceedings?

General (ie non-insolvency specific) guidance on staying proceedings

Under CPR 3.1(f), the court has a discretion to: 'stay the whole or part of any proceedings or judgment either generally or until a specified date or event'. There are a variety of reasons why a stay may be sought but it will not become effective until the court orders it, irrespective of any agreement between the parties to stay the proceedings and seemingly irrespective of whether there is no good reason why the proceedings should not be stayed.

The way in which a stay can be lifted will generally depend on the terms on which the stay was made. For example, the order may:

  1. expressly state how long the stay is to be in force (this will often be the case where, for example, the stay is to allow for the parties to attempt to settle) in which case the stay will generally be lifted, automatically, at the end of that period

  2. state the stay will be lifted on the occurrence of a particular event, eg the filing of a particular document

  3. provide the parties have 'liberty to apply' to lift the stay

  4. be made under a provision which allows for the parties to apply to

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