Misfeasance claims against administrators under paragraph 75 of Schedule B1 to the Insolvency Act 1986

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Practice notes

Misfeasance claims against administrators under paragraph 75 of Schedule B1 to the Insolvency Act 1986

Published by a LexisNexis Restructuring & Insolvency expert

Practice notes
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This Practice Note considers paragraph 75 of Schedule B1 to the Insolvency Act 1986 (IA 1986) which allows the conduct of an administrator of a company to be examined to investigate and potentially establish liability for misfeasance.

Unlike a misfeasance claim under IA 1986, s 212, an application under IA 1986, Sch B1, para 75 is not dependant on the company being in liquidation.

Whose conduct can be examined?

The court may examine the conduct of a person who:

  1. is or purports to be an administrator of a company, or

  2. has been or has purported to be an administrator of a company

The inclusion of a ‘purported’ administrator covers an application for examination where a person holds themselves out to be validly appointed when that is not actually the position. The right to examination will not depend on the determination of that issue.

Who can make application?

An application for examination may be made by:

  1. the official receiver

  2. the administrator

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Jurisdiction(s):
United Kingdom

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