16 Dec, 2016
Katie Gibb considers claims against third parties in insolvency:
Where a company sues a former director, for example, or its auditors for negligence, that defendant is entitled if it so wishes to join in a third party for the purpose of claiming a contribution or an indemnity. If the same company is in liquidation, the liquidator brings such claims on the company’s behalf by way of section 212 of the Insolvency Act 1986 ("the 86 Act"). Claims under section 212 are brought in the Companies Court using the summary procedure in which third party proceedings are not available. The purpose of this article is to identify the origin of this rule and consider whether it still remains applicable.
To read the article in full please click here.