Derfshaw Ltd. & Ors, Re [2011] EWHC 1565 (Ch) (02 June 2011)

The court has jurisdiction to make administration orders with retrospective effect under paragraph 13 of Schedule B1 to the Insolvency Act 1986, and it is appropriate to do so in these cases to validate actions taken by purported administrators after invalid out-of-court appointments.

Citation: [2011] EWHC 1565 (Ch)
Parties: Applicant: Derfshaw Limited & 6 Others
Jurisdiction: England and Wales
Judgment Date: 02 June 2011
Procedural Posture: Administration Application / Judgment on Application for Administration Orders
Outcome: Administration orders granted with retrospective effect
Legal Topics: Administration Orders, Retrospective Effect of Court Orders, Validity of Out of Court Administrator Appointments

Insolvency Company Law Administration Orders Retrospective Effect of Court Orders Validity of Out of Court Administrator Appointments

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Parties

Derfshaw Limited & 6 Others

Applicant

Procedural Posture

Administration Application / Judgment on Application for Administration Orders

Legal Issues

1 Whether the court should make administration orders for the seven companies
2 Whether the court has jurisdiction to make administration orders with retrospective effect
3 Whether prior out-of-court appointments of administrators were invalid due to procedural defects

Ratio Decidendi

Court Disposition

Administration orders granted with retrospective effect

Orders

Administration orders made for each of the seven companies
Orders to take retrospective effect from the date of the purported out-of-court appointments