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Insolvency

02 November 2012
Issue: 7536 / Categories: Case law , Law digest , In Court
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Autoquake Ltd v Car Care Plan Ltd [2012] EWHC 1344 (Ch), [2012] All ER (D) 194 (Feb)

Where an order was sought in order to facilitate a distribution among members, the court would be more reluctant to grant it than if the distribution was to be made to creditors. The jurisdiction to make an order facilitating a distribution was derived, so far as liquidations were concerned, from the statutory power of the court to give directions to liquidators contained in s 168(3) of the Act. The equivalent power to give directions to administrators was contained in para 63 of Sch B1 to the Act. There was no reason why it should not be exercised in a similar way, and no reason why it should not be exercised in relation to expense claims, as well as provable debts.

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