Here is our summary of key developments relevant to restructuring professionals that you might have missed, with links for further information.
It’s not quite over, but with the end of summer approaching and people already forgetting about their holidays we thought we’d brighten inboxes with a bumper edition of our newsletter.
As the picture around risk and liability under the Building Safety Act 2022 begins to grow (rapidly), our Insight explains how liability for building defects and fire risk extends beyond high rise residential buildings and is now affecting commercial property and mixed-use buildings, as well as how responsibility for payment can infiltrate group structures notwithstanding attempts to ringfence risk/liability. A sobering read, but one which all practitioners need to think about when considering the impact on a proposed restructuring.
Our recently released quick guide outlining an insolvency practitioner’s (IP) investigatory powers completes our insolvency litigation collection. This last alert considers how an IP can use their investigatory powers to establish and support litigation claims.
The case of Float Capital provides guidance to IPs on remuneration applications, most notably when an insolvency practitioner can turn to the court for assistance. We have refreshed our earlier newsletter to include the key takeaways from Float Capital, and the newsletter now covers all recent cases that offer practical guidance to IPs on fixing, increasing and agreeing remuneration.
The case of Saxon Wood, although not an insolvency case, provides clarity on how a director should exercise their duties if their views differ from the rest of the board. It is not uncommon to find, particularly in a distressed situation, that the views of the board are split. This case makes it clear that where a director holds a different view, they must act in accordance with the company’s constitution and not, even if they genuinely think it is the better decision, act outside of the governance rules. Our blog explores the decision, the impact on directors and advisors and how the case sits alongside the findings in Sequana.
Across the pond, the US court recognised another restructuring plan proposed by a US based company, New Fortress Energy. Our US colleague shares positive thoughts on the English process from a US perspective and “good forum shopping”.
As we await the outcome of the Novalpina appeal concerning the 12-month rule in member voluntary liquidations (expected soon), the Insolvency Service published this research looking at the effectiveness of MVLs shortly prior to the appeal being heard. Timely, yes. Interesting, yes. Will it sway the outcome of the appeal – let’s wait and see. But in the meantime, make sure an MVL statutory declaration is executed correctly, failure to do so could see the company enter CVL instead – the case of Greenback sends an important warning.
In other news:
Can you serve a notice of intention to appoint administrators on a foreign qualifying floating charge holder (QFCH) without the court’s permission? The court says yes, but exercise some caution, and try to address the position practically.
A foreign judgment can form the basis of a bankruptcy petition (and arguably therefore a winding up petition). The judgment creditor does not need to ask the English court to recognise the judgment.
A sole trader cannot rely on the exception in Rule 22.7 in order to use a “prohibited name”. Read more here.
Administrator costs can be paid ahead of protected moratorium debts (in the right circumstances). Cross Transport sets out the reasons why.
The Renters Rights Act introduced significant changes to the residential letting market. We explore in this quick guide, what those changes are and the impact that they could have for practitioners and lenders.
The Insolvency Service launched its second review of the Insolvency Rules 2016 in July, which proposes to overhaul the rules to ensure they are efficient and future proofed. With the consultation ending on 6 October 2026, now is the time to voice thoughts on those rules that create problems in practice. We share a few thoughts on the review in this blog and if you are interested in what else the Insolvency Service are up to, see their 2026-2027 Annual Plan.
And finally, for something a little different. Wayne Barnes is a partner in our Government Investigations & White Collar Practice. He is also a former international rugby union referee and has presided over more international rugby matches than anyone else in history, including the 2023 Rugby World Cup Final. In this podcast, Wayne discusses with partner Tom Firestone the parallels between rugby refereeing and legal practice, including why referees and lawyers face many of the same practical and ethical dilemmas, from decision-making under pressure to the importance of trust, communication and consistency – this may also resonate with IPs.
If you would like specific advice on any of these issues or anything else, please contact a member of our UK Restructuring & Insolvency team.
