Joint office-holder appointments

The following Restructuring & Insolvency practice note provides comprehensive and up to date legal information covering:

  • Joint office-holder appointments
  • Dispute over appointment choice
  • Joint trustees in bankruptcy
  • Liquidation
  • Members’ voluntary liquidation (MVL)
  • Administrative receivers and other receivers
  • Company voluntary arrangements (CVAs) and individual voluntary arrangements (IVAs)
  • Administrators
  • Remuneration

Joint office-holder appointments

All insolvency processes allow for the joint appointment of office-holders if required. Whether it is appropriate or not to have two office-holders will depend on the circumstances and the type of insolvency process. For more detail on joint appointments within the specific insolvency processes, see below.

In a particularly large and complex administration for example, it is likely that there will be more than one administrator appointed (eg Lehman Brothers International Europe, where there are presently five). This is usually for practical reasons, to enable there to be more than one signatory available when needed, and to divide specific tasks and responsibilities, particularly when trading a company, which can take a lot of manpower and can be logistically difficult to manage. More often than not, there will be two office-holders from the same firm working together on a case, although this won't necessarily be the case with a hostile situation. In that situation, it is possible that office-holders from different practices may be appointed together, particularly where creditors cannot agree on who should be appointed. See for example the case of Re Angel Group Ltd, where four joint liquidators were appointed by the court—two appointments for each party seeking to investigate claims against the other party.

However, in practice it is rare to find office-holders from different firms appointed on the same matter. If

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