ਸਾਰਾ ਕਾਨੂੰਨ
Insolvency Law
c. 12
Corporate Insolvency and Governance Act 2020
legislation.gov.uk ਤੇ ਵੇਖੋਸਾਰ
The Corporate Insolvency and Governance Act 2020 (CIGA) introduced the most significant reforms to UK insolvency law in over 20 years. Partly driven by the COVID-19 pandemic but drawing on years of consultation, it created three new permanent tools: a standalone moratorium giving financially distressed companies breathing space, a new restructuring plan procedure, and restrictions on suppliers terminating contracts when a customer enters an insolvency procedure.
ਮੁੱਖ ਨੁਕਤੇ
- Standalone moratorium (Part 1) — 20 business-day initial period (extendable) preventing creditor action while the company seeks rescue, supervised by a monitor
- Restructuring plan (Part 9, inserting new Part 26A Companies Act 2006) — cross-class cram-down mechanism allowing the court to sanction a plan even if not all classes of creditor agree
- Ipso facto clauses restricted (s.233B Insolvency Act 1986) — suppliers cannot terminate contracts or charge higher prices solely because a customer enters an insolvency procedure
- Temporary COVID-19 measures — suspension of wrongful trading liability, restrictions on winding-up petitions for COVID-related debts (temporary provisions expired)
- Small company moratorium — simplified moratorium procedure for small companies