- Retrospective administration orders when faced with a defective administration extension (Duffy v Mederco (Cardiff))
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Restructuring & Insolvency analysis: The court considered the means by which a retrospective administration order could be backdated to cure a defective administration extension of more than a year prior, so as to allow continuation of the administration, where the purpose of the administration was still to be achieved. It was held, stressing a consistent line of previous authority, that while it was not open to the court to make any order which would take effect at a date any earlier than a year prior, it could make an order dating back 364 days, thereby validating conduct in the administration for those 364 days (but leaving a small window of non-validation) and allowing a new extension of the administration for a further 12 months. Written by Matthew Finnie, associate and Kirsten Fleming, managing associate, at Addleshaw Goddard LLP.
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