A company has been granted a worldwide freezing order on the assets of a debtor who had put forward a “concocted case at trial”. The case involved GML International Ltd & Others v Harfield (2020). GML and the other claimants had brought proceedings to recover significant sums of money paid to Harfield, who resisted by
Insolvency experts are expecting a large rise in the number of companies going out of business towards the end of the year. The insolvency trade body R3 surveyed its members and found and that an overwhelming majority (93.7%) of respondents expect corporate insolvency numbers to increase. More than half (56.1%) of the respondents expected corporate
Businesses that have offered payment holidays to customers may be damaging their own chances of survival, according to the Chartered Institute of Credit Management (CICM). A survey by CICM of its members suggests that of the 83% of firms who had offered a payment holiday, two thirds (66%) said there would be a negative impact
A wine merchant has been disqualified from running a company for 15 years and ordered to repay £500,000 to his company’s creditors. Kevin William Eagling was a director of Noble Vintners Ltd, which entered creditors’ voluntary liquidation in June 2017 with an estimated deficiency of more than £1.6 million. A liquidator was appointed to wind-up
Company directors should be held responsible for late payment of invoices, according to a survey of supply chain managers. The research, carried out by the Chartered Institute of Procurement & Supply, found that seven out of 10 respondents believed there should be independent oversight and stronger penalties to prevent businesses abusing their suppliers. The survey
Businesses across different sectors are urging the new government to end late payment practices that are crippling many small companies. They say the existing Prompt Payment Code isn’t working and fear a surge in company insolvencies if no action is taken. David Frise, CEO of the Building Engineering Services Association (BESA), said repeated failures by
A vehicle leasing company has won its claim to recover more than £560,000 in unpaid invoices following a dispute with a customer. The case involved Venson Automotive Solutions Ltd v Morrisons Facilities Services Ltd. The two companies had entered into a contract in which Venson leased a fleet of 1,014 vehicles to Morrisons. The hire
Company insolvencies in the UK are forecast to show a rise of 10% over the course of 2019, the highest increase across all advanced markets. The Insolvency Outlook report by the trade credit insurer, Atradius, says the continuing Brexit uncertainty is one of the main factors for the increase as it delays any recovery of
New rules that mean large companies could lose lucrative government business if they don’t pay their suppliers on time have now come into force. The rules, effective from 1 September, mean companies must pay 95% of their invoices within 60 days or run the risk of losing out on major government contracts. This will be