Q&As

Where an individual judgment creditor (A), prior to taking action to enforce its judgment against the judgment debtor B (a limited company) discovers that the sole director and shareholder of B has resigned and subsequently set up a new limited company (C) trading out of B’s offices and carrying on the same business as B, can A seek to enforce against C the judgment it has obtained against B? It is assumed that the actions in setting up C have been carried out as a means of B avoiding an effective enforcement against B.

read titleRead full title
Copyright © 2025 LexisNexis
Produced in partnership with Leigh Callaway of Fladgate
Published on: 05 February 2018
imgtext

In answering this Q&A, we have taken into consideration the ‘phoenix’ situation. The term ‘phoenix’ refers to a company that has been incorporated, in order to purchase the assets from a predecessor company that is no longer viable, or otherwise continue with the business of the predecessor company through a new corporate vehicle. A phoenix company can have the same directors as its predecessor, and typically is able to carry on the relevant business where the predecessor left off. However, while on its face there

Leigh Callaway
Leigh Callaway

Fladgate

Leigh is a Senior Associate in the dispute resolution team at Fladgate LLP, specialising in commercial litigation, international arbitration and mediation.

He has a broad range of experience with a particular focus on banking and financial services litigation and civil fraud. Leigh’s practice also covers arbitration and more general commercial litigation work, often with an international element, including breach of contract, misrepresentation, warranty claims, and professional negligence.

Leigh is a co-founder and committee member of the Junior London Solicitors Litigation Association and the Commercial Litigation Associates Forum, and member of the Young Fraud Lawyers Association. He also writes regularly in the legal press, including the New Law Journal and the Solicitor’s Journal.

Read moreRead more
Powered by Lexis+®
Jurisdiction(s):
United Kingdom
Related legal acts:
Key definition:
Enforcement definition
What does Enforcement mean?

The action of compelling a party to comply with a judgment where it has not been complied with voluntarily and the time ordered for compliance has expired.

Read more readmore

Popular documents

How to obtain a writ of control

How to obtain a writ of controlThis Practice Note provides guidance on the interpretation and application of the relevant provisions of the CPR. Depending on the court in which your matter is proceeding, you may also need to be mindful of additional provisions—see further: Court specific guidance

Financial clean break orders in family proceedings

Financial clean break orders in family proceedingsDuty of the court to consider a clean breakAlthough there is no presumption in favour of there being a financial clean break between parties on divorce, the court is under a duty to consider whether it would be appropriate to exercise its powers so

Late payment penalties—inheritance tax

Late payment penalties—inheritance taxWhile interest often accrues on overdue tax, the late payment of certain taxes may also attract a penalty. For information on the interest accruing on overdue tax, see Practice Notes: IHT—payment deadlines on death—Interest on IHT and Interest on late paid

Brussels I (recast)—domicile (Arts 4 and 63) [Archived]

Brussels I (recast)—domicile (Arts 4 and 63) [Archived]ARCHIVED: This Practice Note has been archived and is not maintained.This Practice Note considers the general rule set out in Article 4 of Regulation (EU) 1215/2012, Brussels I (recast) when determining the relevance of a defendant’s domicile to