"Reforms made by the Enterprise Act 2002 to the laws regarding administrative receivership, administration and preferential debt-holding created a fairer and more efficient corporate insolvency regime." Discuss.

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Social Issues

 

Written by:

Rachel W

 

Date added:

August 23, 2013

 

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University

 

Grade:

A

 

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4 / 1113

 

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Therefore apart from the certain special cases, the only option left to floating charge holders creates after September 2003 is to appoint an administrator out-of-court (which is also a change brought by EA 2002). As a result, administration receivership may seem a lot less attractive than before and should be used less frequently now and administration should become a more popular option...
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As a result, administration receivership may seem a lot less attractive than before and should be used less frequently now and administration should become a more popular option. On one hand, this change makes the corporate insolvency regime fairer, especially for unsecured creditors. This is because even though an administrative receiver is deemed to be the company's agents by IA 1986, s...
displayed 300 characters

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