Bootes & Ors v Ceart Risk Services Ltd [2012] EWHC 1178 (Ch) (03 May 2012)

Bootes & Ors v Ceart Risk Services Ltd [2012] EWHC 1178 (Ch) (03 May 2012)

Failure to obtain FSA consent prior to appointment of administrators is a curable defect; the appointment takes effect when FSA written consent is filed with the court, and acts of administrators prior to that filing are validated by paragraph 104 of Schedule B1.

Source-derived case information.

Citation
[2012] EWHC 1178 (Ch)
Parties
Applicant: Peter Lloyd Bootes; Applicant: Jeremy Charles Frost; Applicant: Stephen Patrick Jens Wadstead; Respondent: Ceart Risk Services Limited
Jurisdiction
England and Wales
Judgment Date
03 May 2012
Procedural Posture
Insolvency Application / Judgment on Application for Declaration Regarding Validity of Administrators' Appointment
Outcome
Declaration granted
Legal Topics
Appointment of Administrators, Defective Appointment, Regulatory Consent, Validation of Acts, Retrospective Effect
Insolvency Company Law Financial Regulation Appointment of Administrators Defective Appointment Regulatory Consent Validation of Acts Retrospective Effect

Source-derived case record

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 18 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Parties

Peter Lloyd Bootes

Applicant

Jeremy Charles Frost

Applicant

Stephen Patrick Jens Wadstead

Applicant

Ceart Risk Services Limited

Respondent

Procedural Posture

Insolvency Application / Judgment on Application for Declaration Regarding Validity of Administrators' Appointment

Legal Issues

  1. 1 Whether administrators appointed without prior FSA consent are validly appointed under paragraph 22 of Schedule B1 to the Insolvency Act 1986
  2. 2 Whether subsequent FSA consent cures the defect in appointment
  3. 3 Whether acts of administrators prior to valid appointment are validated by paragraph 104 of Schedule B1

Ratio Decidendi

Failure to obtain FSA consent prior to appointment of administrators is a curable defect; the appointment takes effect when FSA written consent is filed with the court, and acts of administrators prior to that filing are validated by paragraph 104 of Schedule B1.

Court Disposition

Declaration granted

Orders

  • The appointment of the Administrators took effect when the FSA's consent to their appointment was filed with Croydon County Court.
  • Notwithstanding the defect in their appointment on 19 January 2012, the Administrators' acts between that date and the date when the FSA's consent to their appointment was filed with Croydon County Court were valid.