Failed challenge to office-holder’s remuneration payable from fixed charge realisations (Pagden v Ridgley)
Restructuring & Insolvency analysis: The High Court confirmed that amounts paid to an administrator by way of remuneration and expenses for the realisation of fixed charge assets cannot be challenged under Insolvency (England and Wales) Rules 2016 (IR 2016), SI 2016/1024, r 18.34, which only concerns remuneration that is payable to an administrator in respect of the administration of assets as part of the insolvency process, from the company’s assets. While this decision confirms existing principle and practice, challenges remain possible through other routes, including under paragraphs 74 and 75 of Schedule B1 to the Insolvency Act 1986 (IA 1986). Practical implications written by Sam Fenwick, partner, and Yasin Khan, solicitor apprentice, of Wedlake Bell LLP.