Temporary Insolvency Practice Direction

Insolvency and Companies ListPractice Direction

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Lord Wolfson, Parliamentary Under Secretary of State at the Ministry of Justice, has approved and signed an Insolvency Practice Direction (MIPD) on behalf of the Lord Chancellor. This practice direction will come into force on the lapse of the practice direction made on 30 June and remain in force unless amended or revoked by a further insolvency practice direction.

This Insolvency Practice Direction is intended to retain those parts of the previous Temporary Practice Direction that were not concerned with workable solutions for court users during the COVID-19 pandemic and which come to an end under SI at the end of September 2021. Those elements were concerned with permanent changes to the way insolvency business is handled in the courts, and include:

  1. the out of hours appointment of administrators,
  2. the provisions relating to making statutory decisions remotely, and
  3. the time of obtaining a moratorium,

which need to continue until such time (if at all) as they are addressed by substantive rule changes.

This MIPD 2021 applies to all insolvency proceedings throughout Business and Property Courts, subject to any variations as directed by (in London) the Chief Insolvency and Companies Court Judge or (outside London) the relevant Supervising Judge.

The revised temporary IPD has been drafted by Mr Justice Zacaroli, chair of the Insolvency Rules Committee, with Chief ICCJ Briggs, an insolvency specialists. The final draft was approved and signed by the Chancellor of the High Court, Sir Julian Flaux, before being sent to Lord Wolfson for approval.

Please read the Temporary Insolvency Practice Direction below.