A company’s account was in credit at all times, but was, unknown to the bank, in winding up proceedings. The bank continued to honour cheques, and was found to have been making dispositions of the company’s assets under the section. Accordingly the payments were void and ineffective from the date of the commencement of the … Continue reading Hollicourt (Contracts) Ltd (In Liquidation) v Bank of Ireland: ChD 17 Dec 1999
The trustee in bankruptcy appealed against refusal of a declaration that a transfer of the bankrupt’s share in a house to his wife had been at an undervalue. Judges: Sales J Citations: [2011] EWHC 2047 (Ch), [2011] WTLR 1681, [2011] BPIR 1529 Links: Bailii Statutes: Insolvency Act 1986 339 Jurisdiction: England and Wales Insolvency Updated: … Continue reading Claridge, Re The Trustee In Bankruptcy of: ChD 29 Jul 2011
Outer House – Court of Session – Judges: Lord Hodge Citations: [2009] ScotCS CSOH – 50 Links: Bailii Statutes: Insolvency Act 1986 Citing: Cited – Equity and Law Life Assurance Society v Tritonia Ltd HL 1943 Viscount Simon LC said: ‘When an appeal is argued before the House of Lords, no one has any right … Continue reading HM Secretary of State for Business Enterprise and Regulatory Reform, Re Order To Wind Up UK Bankruptcy Ltd: SCS 31 Mar 2009
The court considered the case of Glenister and similar and said: ‘I accept the submission that these cases are not in point to the issue as regards future asbestos claims. There is no element of discretion as regards such claims. If the ingredients of the tort of negligence . . are established, the claimants are … Continue reading In re T and N Ltd and Others, Re Insolvency Act 1986: ChD 14 Dec 2005
Citations: [2005] BPIR 842 Statutes: Insolvency Act 1986 423 Jurisdiction: England and Wales Cited by: Appeal from – Hill (As Trustee In Bankruptcy of Nurkowski) v Spread Trustee Company Ltd and Another CA 12-May-2006 The defendants sought relief for transactions entered into at an undervalue. The bankrupt had entered into charges and an assignment of … Continue reading Hill (As Trustee In Bankruptcy of Nurkowski) v Spread Trustee Company Ltd and Another: ChD 2005
(Orse In re Pantmaenog Timber Co Ltd)The Receiver sought to use information obtained under section 236 (documents recovered from the directors’ solicitors) in disqualification proceedings. Held: The appeal succeeded. The Act had explicitly given the requisite powers to the receiver whether or not he was the liquidator. Nor was the purpose of the use restricted. … Continue reading Official Receiver v Wadge Rapps and Hunt (a firm) and another and two other actions: HL 31 Jul 2003
A bank continued to pay on cheques presented to it against the company’s bank account even after the presentation of a petition for bankruptcy. The liquidator sought recovery of the amounts paid from the bank as well as the payees. It was held that the legislation made the disposition void, but that did not operate … Continue reading Bank of Ireland v Hollicourt (Contracts) Limited: CA 20 Oct 2000
The defendants sought relief for transactions entered into at an undervalue. The bankrupt had entered into charges and an assignment of a loan account in their favour before his bankruptcy, and the trustee had obtained an order for them to be set aside as a fraud on his creditors. Held: To have such orders set … Continue reading Hill (As Trustee In Bankruptcy of Nurkowski) v Spread Trustee Company Ltd and Another: CA 12 May 2006
A solicitor had acted for both purchaser and lender in a purchase transaction. The purchaser later sought to recover from the defendant for a negligent valuation. The solicitor had however discussed the issue with the plaintiff before the purchase, and he disclosed his note of the attendance on the plaintiff to the defendant. The note … Continue reading Goddard v Nationwide Building Society: CA 1986
When being asked to set aside a statutory demand, and exercising the statutory discretion, the real question is whether the applicant can show ‘a substantial reason comparable to the sort of reason one sees in paras (a), (b) and (c) of r 6.5(4), why the demand ought to be set aside.’Peter Gibson LJ said: ‘The … Continue reading Budge v AH Budge (Contractors) Ltd: CA 1997
On the divorce, the wife applied for a property transfer order in relation to the jointly owned matrimonial home. A creditor of her husband then obtained a charging order on H’s interest. She sought its varation. The creditor said that there was little point in this since any transfer in her favour would be void … Continue reading Harman v Glencross: 1986
The claimants challenged the 1967 Act, saying that it deprived them of their property rights when lessees were given the power to purchase the freehold reversion. Held: Article 1 (P1-1) in substance guarantees the right of property. Allowing a mechanism for the compulsory transfer of the freehold interest in the house and the land to … Continue reading James and Others v The United Kingdom: ECHR 21 Feb 1986
The court was asked whether section 375 allowed a court to review, rescind or vary an order which was previously made by that court in exercise of its jurisdiction to hear an appeal from a lower court. Arden, Lewison, McCombe LJJ [2016] WLR(D) 632, [2016] EWCA Civ 1159 Bailii, WLRD Insolvency Act 1986 375(1) England … Continue reading Sands (As Trustee In Bankruptcy) v Layne and Another: CA 29 Nov 2016
Application by the Trustee in Bankruptcy of under section 279(3) of the Insolvency Act 1986 to suspend the date of discharge of Mr. K from his bankruptcy. Miss Penelope Reed QC (Sitting as a Deputy Judge of the Chancery Division) [2013] EWHC 2204 (Ch) Bailii England and Wales Insolvency Updated: 20 January 2022; Ref: scu.514968
The court was asked whether a notice claiming after-acquired property was served within the statutory time limits by the trustee in bankruptcy of the appellant. Henderson J [2015] EWHC 2826 (Ch) Bailii Insolvency Act 1986 307(1) 309 England and Wales Insolvency Updated: 04 January 2022; Ref: scu.553251
Appeal to the High Court from a decision of a district judge exercising insolvency jurisdiction in the county court on appeal from a decision of the bankruptcy adjudicator raising two fundamental, and apparently novel, questions. The first concerns the evidential burden, if any, resting on an applicant for a bankruptcy order to adduce evidence as … Continue reading The Office of The Bankruptcy Adjudicator and Another v Shaw: ChD 7 Oct 2021
The trustee sought to have set aside as an unlawful preference, the payment of 75% of the proceeds of sale of the former matrimonial home to the bankrupt’s wife, saying that the payment had been made after the presentation of the petition. The parties had previously compromised a claim for ancillary relief in the divorce … Continue reading Warwick (Formerly Yarwood) v Trustee In Bankruptcy of Clive Graham Yarwood: ChD 13 Sep 2010
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The House considered the effects of bankruptcy on the imposition of a committal to imprisonment in default of paying rates. The purpose of section 285 is to preserve the estate of the bankrupt for the benefit of his unsecured creditors.Lord Jauncey of Tullichettle said that, in view of the changes in policy shown by the … Continue reading Smith (a bankrupt) v Braintree District Council: HL 1989
The court does not have power to order the payment of a liquidator’s costs which had not been properly incurred. The costs of unsuccessful litigation were not recoverable in priority to a secured creditor in priority to the charge. As to rule 7.47(1) of the Rules: ‘But, since the point has been raised and may … Continue reading Mond and Another v Hammond Suddards and Another: CA 15 Jun 1999
A trial had taken place in which the principal issue was the upper boundary of the plaintiff’s fishery. On appeal the defendant proposed to rely on new evidence discovered among the papers in another action tried over a hundred years before. The papers included proofs of witnesses. The papers had been prepared on behalf of … Continue reading Calcraft v Guest: CA 1898
Appeals from refusals to rescind bankruptcy orders. The bankrupts had, after lodging their appeals, persuaded the petitioning creditor and several other creditors to support the application. The first bankrupt was acting as agent in negotiations which if successful would generate a commission which would clear the indebtedness. Held: The court’s rejection of the request had … Continue reading Fitch v The Official Receiver: CA 15 Nov 1995
The trustee in bankruptcy sought to have set aside a charging order made over the bankrupt’s property before the commencement of the insolvency. Held: ‘The principle that property acquired from a debtor (in good faith and without notice of the presentation of a bankruptcy petition) is entitled to retain that property against the trustee in … Continue reading Nationwide Building Society v Wright and Another: CA 29 Jul 2009
A statutory demand as served showed an incorrectly calculated sum owed and was in the wrong form. Held: The application to set the demand aside was refused. A statutory demand should not be set aside for a mere technicality.Lord Justice Nicholls said: ‘The question arising on this appeal concerns the exercise by the court of … Continue reading In re a Debtor (No 1 of 1987), ex parte the Royal Bank of Scotland: CA 1989
A petitioner’s change of mind and support can found a review or rescission of a bankruptcy order as a change of circumstances. Citations: Gazette 24-Jan-1996, Times 21-Nov-1995, [1996] 1 WLR 242 Statutes: Insolvency Act 1986 375(1) Jurisdiction: England and Wales Insolvency Updated: 09 December 2022; Ref: scu.80579
The court was asked to pierce the veil of incorporation of a company in the course of ancillary relief proceedings in a divorce. H had failed to co-operate with the court. After a comprehensive review of all the authorities, Munby J said: ‘The common theme running through all the cases in which the court has … Continue reading Ben Hashem v Ali Shayif and Another: FD 22 Sep 2008
The bankrupt wished to discharge his bankruptcy debt, but challenged the trustee’s fees. Held: The court approved application of the Practice Statement 2004.Proudman J said: ‘The court’s task is to balance all the various criteria, resolving any conflict between them arising in the particular case, in order to arrive at the proper level of remuneration. … Continue reading Hunt v Yearwood-Grazette: ChD 7 Apr 2009
The claimant sued for breach of trust. The action was re-instated after being struck out for want of prosecution, but in the meantime the defendant had been made bankrupt and then discharged from bankruptcy. An order for costs was then made which the claimant now sought to enforce. Held: The possibility of a future costs … Continue reading Glenister v Rowe: CA 21 Apr 1999
The claimant was sole residuary legatee of his mother’s estate. He became bankrupt, but was released by automatic discharge from the bankruptcy before the administration of the estate was completed. He challenged the solicitors who wished to pay the estate to his trustee. Held: The value of the estate was payable to the trustee in … Continue reading Raymond Saul and Co (A Firm) v Holden and Another; In re Hemming (deceased): ChD 12 Nov 2008
A person who challenges a bankrupt’s trustee’s conduct under section 303 must show that the trustee is acting ‘in bad faith or so perversely that no trustee properly advised or properly instructing himself could so have acted, alternatively if he has acted fraudulently or in a manner so unreasonable and absurd that no reasonable trustee … Continue reading Osborne v Cole: 1999
A registered shareholder who is absolute beneficial owner can vote as he pleases, subject only to rather imprecise constraints imposed by company law. It is essential to the exception to the rule in Foss v Harbottle that the alleged wrongdoing is incapable of lawful ratification. Citations: [1988] Ch 114, [1987] 3 All ER 909, (1987) … Continue reading Smith v Croft (No 2): 1987
A contractor had done defective work in breach of a building contract with the developer but the loss was suffered by a third party who had by then purchased the development. The developer recovered the loss suffered by the purchaser. Held: The benefit of a contract may be assigned to a third party without the … Continue reading Linden Gardens Trust Ltd v Lenesta Sludge Disposals Ltd and Others; St. Martins Property Corporation Ltd v Sir Robert McAlpine: HL 8 Dec 1993
The appellant challenged a formal statutory demand which had led to his bankruptcy. The demand had included the anticipated cost of realising the charged property, and also had been inflated to allow for extra costs of dealing the appellant who was perceived to be recalcitrant and unco-operative. Held: The statutory demand could only include sums … Continue reading Owo-Samson v Barclays Bank Plc, Boyden: CA 21 May 2003
The claimant sought judicial review of the respondent’s decision that he was liable, after his discharge from bankruptcy, to suffer deductions from his benefits of sums to repay an overpayment of benefit incurred before his bankruptcy. Held: The respondent’s claim under section 71(1) was a bankruptcy debt, and as such was subject to release on … Continue reading Balding, Regina (on the Application of) v Secretary of State for Work and Pensions: Admn 3 Apr 2007
The bankrupt had received his discharge from the bankruptcy and the debts associated. After the discharge he received a statutory demand from the trustees of a pension fund claiming sums from him alleging his dishonest breach of trust. He replied by saying that he had been discharged. Held: To constitute a ‘fraudulent breach of trust’ … Continue reading Woodland-Ferrari v UCL Group Retirement Benefits Scheme: ChD 5 Jul 2002
A bankrupt’s present entitlement to compel payment of pension benefits fell to be included in the assessment of his income within the meaning of section 310(7) of the Insolvency Act. Judges: Bernard Livesey QC Citations: [2012] EWHC 909 (Ch), [2012] 1 WLR 3559, [2012] BPIR 621, [2012] WLR(D) 115, [2012] 3 All ER 1028 Links: … Continue reading Raithatha v Williamson: ChD 4 Apr 2012
The deceased had first conveyed property to her solicitor. Leases back were then created in her favour, and then the freeholds were conveyed at her direction to her children and grandchildren. They were potentially exempt transfers. Held: (Millett LJ dissenting) The conveyance to the solicitor left the solicitor holding the property as bare trustee for … Continue reading Ingram and Palmer-Tomkinson (Executors of the Estate of Lady Jane Lindsay Morgan Ingram Deceased) v Commissioners of Inland Revenue: CA 28 Jul 1997
The parties had agreed to an ancillary relief order on their divorce. The husband was made bankrupt without having paid the lump sum agreed. The former wife and now claimant had received no dividend. Debts which were not provable in the bankruptcy are not released: they are untouched by the process. The former husband now … Continue reading McRoberts v McRoberts: ChD 1 Nov 2012
A solicitor appealed against an order requiring him to contribute to the costs of Mareva injunction applied for on behalf of his bankrupt client. Held: Solicitors were not liable in costs personally for starting proceedings on behalf of a bankrupt. A bankrupt has power to instruct solicitor to commence proceedings. Waller LJGibson LJ said: ‘s.306 … Continue reading Nelson v Nelson: CA 6 Dec 1996
Creditor’s application for annulment of bankruptcy Judges: Judge Agnello KC Deputy Insolvency and Companies Court Citations: [2022] EWHC 2683 (Ch) Links: Bailii Statutes: Insolvency Act 1986 282(1)(a) Jurisdiction: England and Wales Insolvency Updated: 31 October 2022; Ref: scu.682226
A stay of execution of an order against matrimonial assets was not defeated by bankruptcy. As to the interplay of the Insolvency Rules and matrimonial proceedings. Balcombe LJ said: ‘I cannot leave this case without saying something about the effect of r 12.3 of the Insolvency Rules 1986. Before those rules came into force orders … Continue reading Woodley v Woodley (2): CA 12 Apr 1993
The word ‘and’ in sections 423(2)(a) and 423(2)(b) is to be read conjunctively not disjunctively. Section 238(3) is to be interpreted as requiring restoration of the former position ‘as far as possible’ or ‘as far as practicable’, and that accordingly subsequent events were not an absolute bar against setting aside the sale. Nourse LJ: ‘The … Continue reading Chohan v Saggar and Another: CA 27 Dec 1993
A judgment creditor, applied for an order requiring Mr Brewster, his judgment debtor, to elect to draw down a lump sum from his pension in order to enable the judgment creditor to obtain a third party debt order against the pension trustees. Held: Mr Moss granted an injunction under section 37(1) of the 1981 Act … Continue reading Blight and Others v Brewster: ChD 9 Feb 2012
Preliminary issue in an application in a bankruptcy Judges: Mr Justice Nugee Citations: [2020] EWHC 98 (Ch) Links: Bailii Statutes: Insolvency Act 1986 Jurisdiction: England and Wales Insolvency Updated: 11 October 2022; Ref: scu.646335
The claimant advanced funds to the respondent for him to invest in a bank of which the claimant had insider knowledge. In fact the defendant did not invest the funds, the knowledge was incorrect. The defendant however did not return the sums advanced, saying he need not return it because the contract was for an … Continue reading Patel v Mirza: SC 20 Jul 2016
There was a conflict between the creditors who were party to the IVA and a subsequent trustee in bankruptcy; and the bankruptcy was petitioned by a new creditor who was unaffected by the IVA. Held: The IVA had created a trust of the bankrupt’s assets for the benefit of the IVA creditors. The bankruptcy order … Continue reading in Re Bradley-Hole (A Bankrupt): ChD 1995
A bankrupt had, before his bankruptcy disposed of his share in a house at an undervalue. His wife appealed an order that the share disposed of should vest entirely in the trustee in bankruptcy. Matrimonial proceedings had also been commenced. Held: The wife was seeking effectively not re-instatement, but the creation of a position which … Continue reading Gita Ram v Baskinder Ram,Solinder Ram, Monder Ram and Maurice William Russell: CA 5 Nov 2004
The petitioner former wife sought to make the husband bankrupt on the basis of unpaid maintenance debts. The maintenance was subject to variation by the original foreign court which had made the order. Held: The order was one recognised under the Act. The fact that the foreign court could still order a variation was critical … Continue reading Cartwright v Cartwright and Others: CA 3 Jul 2002
Proposed appeal from a decision dismissing the Appellant’s application, made pursuant to section 282(1)(a) of the Insolvency Act 1986, to annul a bankruptcy order made against the Appellant. Citations: [2019] EWHC 2701 (Ch) Links: Bailii Jurisdiction: England and Wales Insolvency Updated: 07 September 2022; Ref: scu.642771
Solicitor firms had been made bankrupt leaving a shortfall after thefts from client accounts of over 12 million pounds. The thief had diappeared, and the other partners were now discharged form bankruptcy. The Law Society accepted that it could not proceed to claim against the discharged bankrupts, but now sought recovery from their insurers. Held: … Continue reading Law Society of England and Wales and others v Shah and others: ChD 30 Nov 2007
EAT TRANSFER OF UNDERTAKING – InsolvencyAdministration proceedings pursuant to Schedule B1 of the Insolvency Act 1986 are not capable of constituting ‘bankruptcy . . or . . analogous insolvency proceedings which have been instituted with a view to the liquidation of the assets of the transferor’ within the meaning of reg. 8 (7) of TUPE … Continue reading OTG Ltd v Barke and Others: EAT 16 Feb 2011
The bankrupt, while solvent had acquired a property which was first put in his own sole name, but then transferred to his wife outwardly ‘in consideration of love and affection’. Several years later, on the bankruptcy, the trustee sought to have the transaction set aside. The bankrupt, now discharged, said that in fact the original … Continue reading Stonham v Ramrattan and Another: CA 16 Feb 2011
The claimants appealed against bankruptcy orders made against assessed liability to income tax and penalties. As solicitors, their practice had suffered intervention, but they argued that their assets comfortably exceeded their liabilities and that they should have been given more time to pay. Held: They said that as a result of the intervention within their … Continue reading Ross and Holmes v HM Revenue and Customs: ChD 12 Jan 2010
In ancillary relief proceedings in a divorce, the husband had been ordered to transfer his interest in property to his wife. Before it was put into effect, he became insolvent. The wife and receiver competed for the interest to have been transferred. Held: Upon the order taking effect (upon the decree absolute), the wife acquired … Continue reading Mountney v Treharne: CA 8 Aug 2002
The claimant appealed against his bankruptcy saying that it had followed as statutory demand based upon his alleged default under a guarantee of his brothers mortgage borrowings. He said that such a claim was not a liquidated sum within the 1986 Act. Held: The appeal failed. Judges: Briggs J Citations: [2010] NPC 116, [2011] BPIR … Continue reading McGuinness v Norwich and Peterborough Building Society: ChD 23 Nov 2010
The defendant sought permission to appeal against the order made on the application for his bankruptcy, saying that he wished to bring new evidence. He said that he had offered sufficient security for the debt and the court should adjourn the petition pending the sale of assets. Judges: Proudman J Citations: [2010] EWHC 1384 (Ch) … Continue reading Scottish and Newcastle Ltd v Raguz: ChD 10 Jun 2010
The trustee in bankruptcy appealed against rejection of his claim for the sale of the home in which the bankrupts each held a one half share. The bankruptcies arose from non payment of council tax. The principle sums had been repaid, and the outstanding matters were the trustee’s costs. The bankrupts had not co-operated, and … Continue reading Everitt v Budhram and Another: ChD 20 May 2009
The court was asked as to the set-off, in a company administration, of future debts owed by the company to its creditors and by those creditors to the company, and whether the effect of those provisions was that, after the future debts were discounted to a present value for the purpose of set-off, leaving a … Continue reading In re Kaupthing Singer and Friedlander Ltd: CA 11 May 2010
The subject of the bankruptcy proceedings asked that the petition be heard in private so as not to prejudice pending criminal proceedings in a foreign jurisdiction. Held: The bankrupt would be required to answer questions which might be self incriminating. The court had power to hear the matter in private, and would do so, but … Continue reading In re Rottmann (a Bankrupt): ChD 20 May 2008
The Revenue appealed against the recission of a bankruptcy order made on its request against the debtor taxpayer. Citations: [2008] EWHC 3180 (Ch) Links: Bailii Statutes: Insolvency Act 1986 375(1) Jurisdiction: England and Wales Insolvency Updated: 13 August 2022; Ref: scu.396462
The Court was asked as to an assignment to a creditor of all rights to and choses in action relating to or in any way arising out of or in connection with an action against a secured creditor. The rights purportedly assigned included the right to assert that certain dispositions of the company’s property after … Continue reading In re Ayala Holdings Ltd (No 2): ChD 1996
The court was asked as to the interrelationship of the statutory schemes relating to the protection of employees’ pensions and to corporate insolvency. Held: Liabilities which arose from financial support directions or contribution notices issued by the Pensions Regulator under the 2004 Act after the company had gone into administration, which required the company to … Continue reading In re Nortel Companies and Others: SC 24 Jul 2013
Not all debts which were eligible for proof in bankruptcy were also eligible for a set off. Rose Ljexplained the doctrine of equitable marshallling, saying: ‘The doctrine of marshalling applies where there are two creditors of the same debtor, each owed a different debt, one creditor (A) having two or more securities for the debt … Continue reading Bank of Credit and Commerce International Sa (In Liquidation) (No 8): CA 2 Oct 1996
A claim was made in respect of personal injuries sustained by a passenger when a tram ran out of control. The Company was in insolvent liquidation. A claim for the same amount for the same injuries could be made in contract or in tort. Held: The unliquidated claim in contract was provable, but not the … Continue reading Re Great Orme Tramways Co: 1934
The Court has no power to direct the Official Receiver as to suspension of bankruptcy. Citations: Times 19-Jul-1996, [1997] BPIR 77 Statutes: Insolvency Act 1986 303(1) 303(2) Jurisdiction: England and Wales Cited by: Cited – Bagnall QC v the Official Receiver ChD 18-Jun-2003 The bankrupt was to receive his automatic discharge. The receiver had applied … Continue reading Hardy v Focus Insurance Co (In Liquidation): ChD 19 Jul 1996
The claimant investors said that their financial adviser, the defendant insolvent company, had given them negligent advice. The action was brought as a preliminary to claiming against the defendant’s insurers under the 1930 Act, in the way made necessary by the Post Office and Bradley cases. Limitation defences were deployed to strike the action out. … Continue reading Financial Services Compensation Scheme Ltd v Larnell (Insurances) Ltd: CA 29 Nov 2005
Where A and B each have claims against each other and A is insolvent, the common amount is set off, and the net difference remains as a debt due. Hoffmann L said: ‘It is a matter of common occurrence for an individual to become insolvent while attempting to pursue a claim against someone else. In … Continue reading Stein v Blake: HL 18 May 1995
The ordinary procedure of an insolvency involves two-stage, a statutory demand followed by a bankruptcy petition. The service of a ‘statutory demand’ in the prescribed form is simply one means of establishing ‘inability to pay’. The procedure is intended to be brief, and is aimed at establishing an inability to pay and no more. It … Continue reading Re a Debtor: ChD 1994
The insolvency practitioner held many appointments. His partnership in a large firm of accountants ended suddenly. He did not have the resources to handle the cases, and nor could acceptable arrangements be made for him to have access to the related files within the firm. An application was made by another partner in the firm … Continue reading In Re Sutton (Removal of Liquidator): ChD 17 Oct 1997
An expectation of a criminal injuries award is not property for bankruptcy proceedings. Citations: Times 08-Dec-1995 Statutes: Insolvency Act 1986 306-1 Jurisdiction: England and Wales Insolvency Updated: 25 July 2022; Ref: scu.81632
Application by the Trustees of the bankruptcy estate of Mr Djurbery for a search and seizure order pursuant to s.365 of the Insolvency Act 1986 Judges: Insolvency and Companies Court Judge Jones Citations: [2022] EWHC 1534 (Ch) Links: Bailii Jurisdiction: England and Wales Insolvency Updated: 24 July 2022; Ref: scu.679125
The court considered an application by the wife when, anticipating ancillary relief claims, the husband sought to have himself declared bankrupt, and she intervened to have the bankruptcy set aside. The husband now appealed. Held: Wilson LJ set out examples of the application to particular facts of the jurisdiction to reverse an error prior to … Continue reading Paulin v Paulin: CA 17 Mar 2009
The applicant sought leave to appeal against a refusal to adjourn his examination in bankruptcy fearing that the contents would become public prejudicing his criminal trial abroad. The court had allowed a private examination, but he felt this was insufficient protection. Held: Leave was refused. Judges: Mummery LJ Citations: [2008] EWCA Civ 1360 Links: Bailii … Continue reading Rottmann v Brittain: CA 12 Nov 2008
Application to annul bankruptcy order – council tax liability orders. Judges: Mullen J ICC Citations: [2019] EWHC 1763 (Ch) Links: Bailii Statutes: Insolvency Act 1986 282(1)(a) Jurisdiction: England and Wales Insolvency Updated: 19 July 2022; Ref: scu.640071
An order vesting a lease disclaimed by the trustee in bankruptcy, in a mortgagee, may provide that any profit which is made on a re-sale of the lease was to be paid on to the receiver for the benefit of creditors. Citations: Times 24-Feb-1998, Gazette 08-Apr-1998 Statutes: Insolvency Act 1986 320 Jurisdiction: England and Wales … Continue reading In Re Lee (A Bankrupt): ChD 24 Feb 1998
The bank had received and paid substantial sums from the company before the petition for insolvency had been presented, and had discharged the director’s charge on his house. The liquidator sought restitution under the Act. The bank replied that it had acted already in such a way as to put its own position at risk, … Continue reading Rose v AIB Group (UK) plc and Another: ChD 9 Jun 2003
An airline company went into administration. The airport seized two airplanes. The administrators claimed they were property within the administration, could not be seized without a court order, and the court should exercise its discretion not to allow seizure. Held: The definition of property in the 1982 Act was wide enough to include leased property. … Continue reading Bristol Airport Plc and Another v Powdrill and Others: CA 21 Dec 1989
The Court was asked whether the liability of a debtor for future payments under an income payments order (IPO) made in the debtor’s bankruptcy ranks as a provable debt in a later bankruptcy of the same debtor. The answer is provided by section 335 of the Insolvency Act 1986 (the Act) if the later bankruptcy … Continue reading Azuonye v Kent: CA 19 Jul 2019
Application by Mr Bagnall for permission to apply for an order quashing on public law grounds a decision by the Secretary of State notified to Mr Bagnall on the 1st October 1999 to exercise the power conferred by Section 296 of the Insolvency Act 1986 to appoint Mrs Jackson as his trustee in bankruptcy. Judges: … Continue reading The Queen and Secretary of State for Trade and Industry ex parte Kenneth Reginald Bagnall QC: Admn 22 Feb 2000
The registrar had decided that the debtor’s centre of main interests was situated in Switzerland. Held: Article 3 of Regulation (EC) 1346/2000 did not displace the bankruptcy jurisdiction which (as the registrar found) the High Court would otherwise have under section 265 of the Insolvency Act 1986. Judges: Judge Howarth Citations: [2002] EWHC 2898 (Ch) … Continue reading Skjevesland v Geveran Trading Company Limited: ChD 2002
Judges: Neuberger J Citations: [2000] PLR 339, [2000] Pens LR 339, [2001] OPLR 37, [2000] EWHC Ch 457 Links: Bailii Jurisdiction: England and Wales Cited by: Cited – Horton v Henry CA 7-Oct-2016 No obligation on bankrupt to draw on pension fund The trustee in bankruptcy appealed against a decision dismissing his application for an … Continue reading Barclays Bank Plc v Holmes and others: ChD 21 Nov 2000
On the divorce, the husband was ordered to transfer his share in the house to the wife. On his bankruptcy shortly after, the order was confirmed. After the wife sold the property at a profit, the trustee in bankruptcy applied to set the transfer aside as a transaction at an undervalue. Held: The starting point … Continue reading Haines v Hill and Another: CA 5 Dec 2007
The defendant, an undischarged bankrupt, appealed an order made for his committal to prison after failing to co-operate with his trustee. Held: The discharge of the bankruptcy had been extended already because of the defendant’s failure to co-operate. The defendant had not been given notice of the application for his committal. Section 364 was not … Continue reading Hickling v Baker: CA 4 Apr 2007
The parties to the action had given cross undertakings to support the grant of an interim injunction. A third party subsequently applied to be joined, and now sought to take advantage of the cross undertakings to claim the losses incurred through the giving of the ‘wrongful undertakings’ Held: The joined party, who had not itself … Continue reading Smithkline Beecham Plc Glaxosmithkline UK Ltd and Another v Apotex Europe Ltd and others (No 2): CA 23 May 2006
Hudoc Judgment (Merits and just satisfaction) Preliminary objection rejected (non-exhaustion) ; Violation of P1-1 ; No violation of Art. 6-1 ; Violation of Art. 13 ; Pecuniary damage – financial award ; Costs and expenses partial awardThe claimant company alleged that its human rights had been violated in that it had been ordered to pay … Continue reading Stockholms Forsakrings- Och Skadestandsjuridik Ab v Sweden: ECHR 16 Sep 2003
The defendant had been subject to a possession order in respect of his secure tenancy. He was later adjudged bankrupt. He asserted that the bankruptcy specifically prevented other action to enforce the debt, and the suspended possession order was such an enforcement. Held: Where the terms of suspension were expressed so as to indicate that … Continue reading Harlow District Council v Hall: CA 28 Feb 2006
The claimant had received an overpayment of benefits (Job seeker’s allowance), but then was made bankrupt. He now said that this was a debt in the bankruptcy. Held: It was not. At the date of the bankruptcy order, the possible reclaim was not yet a contingent debt, and he remained liable. There was no contingent … Continue reading Steele, Regina (on the Application of) v Birmingham City Council and The Secretary of State for Work and Pensions: CA 16 Dec 2005
The appellant had lived with the bankrupt for several years, and sought an order delayng sale of the house they had lived in until their children had grown up. She said the circumstances were exceptional. Held: The fact that the delay might put at risk the payment of the creditors in full and with interest … Continue reading Donohoe v Ingram: ChD 20 Jan 2006
A third party agreed to pay the bankrupt’s debts. He applied for the bankruptcy to be annulled, and for the trustee’s costs to be assessed and fixed at a reasonable level under section 303. The trustee appealed the costs order saying that the bankrupt had not been prejudiced by his actions. Held: The appeal was … Continue reading Peri v Engel: ChD 29 Apr 2002
The appellant had been convicted of an offence under the section in that as a bankrupt, he ‘in the two years before the petition, materially contributed to, or increased the extent of, his insolvency by gambling or by rash and hazardous speculations’. The actus reus – the bankruptcy petition and the bankruptcy to which it … Continue reading Regina v Muhamad: CACD 19 Jul 2002
The claimants began an action in January 2003 to seek to set aside the appointment of an administrator from December 1991, and to have set aside transfers of property made within the estate. Held: The limitation period against a personal representative began to run only after one year, the executor’s year, after the grant. No … Continue reading Green and others v Gaul and Another; In re Loftus deceased: ChD 18 Mar 2005
Tenants occupied land next to land which was to be developed after compulsory acquisition. The tenants and the landlords asserted a right of light over the land, and sought an injunction to prevent the development. The developer denied that any right of light had been acquired. The sky contour diagrams projected that the reductions in … Continue reading Midtown Ltd v City of London Real Property Company Ltd: ChD 20 Jan 2005
Registrar Simmonds considered that: ‘in order to convert what is clearly an unliquidated sum to a liquidated sum there must be . . clear and unequivocal conduct or agreement on the part of the debtor to demonstrate acceptance of those bills of costs such as to forego the right of assessment and to convert them … Continue reading Re Le Winton: ChD 31 Jul 2007
The bankrupt had been discharged from his bankruptcy, but his share in the family home remained vested in the trustee who applied for the sale of the home. His wife applied to set aside an order for sale on the basis that it interfered with her right to family life. Held: Previous decisions had not … Continue reading Nicholls v Lan and Another: ChD 26 May 2006
The bankrupt was to receive his automatic discharge. The receiver had applied ex parte to suspend the automatic discharge. The bankrupt appealed. Held: The court had power to make such an order. The court had seen strong prima facie evidence that the bankrupt had failed in his obligation to co-operate with the receiver. The failure … Continue reading Bagnall QC v the Official Receiver: ChD 18 Jun 2003
The liquidator sought to recover his expenses from assets charged under a floating charge in priority to the chargee. Held: Barleycorn was decided in error. The liquidators costs incurred in an insolvent winding up were not to be charged against the assets subject to the floating charge: ‘The winding up of a company is a … Continue reading Buchler and another (as joint liquidators of Leyland DAF Limited) v Talbot and another (as joint administrative receivers of Leyland DAF Limited) and Stichting Ofasec and others: HL 4 Mar 2004
The defendant had been convicted of conspiring to import cannabis, and made subject inter alia to a confiscation order. Held: ‘ the object of the Act is to ensure, so far as is possible, that the convicted drug trafficker is parted from the proceeds of any drug trafficking which he has carried out. The provisions … Continue reading Regina v Dickens: CACD 11 Apr 1990
Where a bankrupt wished to pursue an action held for him personally rather than his creditors. Held: The trustee in bankruptcy held the right of action in trust for the bankrupt, but declined to sue. The bankrupt had the right to join the trustee as a co-defendant and to commence the action under his own … Continue reading Mulkerrins v Pricewaterhousecoopers (A Firm): ChD 29 Mar 2000
A couple bought a property and registered it in their own names with substantial financial assistance from the parents of one of them. The parents occupied the house with them. Without telling the parents, the owners borrowed again, executing further charges. Held: The fact of occupation did not add to the parents’ rights as equitable … Continue reading City of London Building Society v Flegg And Another: HL 14 May 1987
When a defendant was accused of an offence under the section, and wished to raise a defence under sub-section 4, the duty of proof placed on him by the sub-section amounted to a duty to bring sufficient evidence to raise the defence, and the section did not transfer the burden from the prosecution. Held: To … Continue reading Regina v Clive Louden Carass: CACD 19 Dec 2001
