The Corporate Insolvency and Governance Act (the Act) received Royal Assent on 25 June 2020 and is now in force. As anticipated in our client alert of 26 May 2020, the Act represents the most extensive changes in the insolvency landscape since the Enterprise Act came into force in 2003.
The provisions of the Act contain both:
- Permanent, long-term reforms to corporate insolvency law, including the introduction of a free-standing moratorium, a new restructuring plan which includes a cross-class cram down mechanism and further protections for certain supply contracts.
- Temporary, emergency provisions initiated by the COVID-19 crisis, including the suspension of the wrongful trading legislation, restrictions on the use of statutory demands…
Read the full article at: https://www.jdsupra.com/legalnews/corporate-insolvency-and-governance-act-95400/