The courts’ first application of The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020 (Axnoller Events Ltd v Brake and another; Brake and others v Chedington Court Estate Ltd)

Table of contents

• What are the practical implications of this case?
• What was the background?
• What did the court decide?
• Case details

Article summary

Restructuring & Insolvency analysis: In this case the court considered the following aspects of the The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020 (Regulations): (i) application to cancel a moratorium—who has jurisdiction to determine such application, the High Court or the County Court?, (ii) application to cancel a moratorium—form N244 application or claim form?, (iii) application to cancel a moratorium—what constitutes ‘unfair prejudice’ to creditors?, and (iv) can later debts be added to a moratorium and will they be classed as ‘qualifying debts’? Written by Anusheh Burcher, senior associate at Ashfords LLP.