Binding creditors to an IVA where the court suspends approval (High Court) | Practical Law

Binding creditors to an IVA where the court suspends approval (High Court) | Practical Law

A creditor whose claim against a debtor increases between the first meeting called to consider proposals for an individual voluntary arrangement (IVA) and a subsequent meeting called after the court suspends the approval of the IVA, is bound for the full amount of its claim, not just the claim as it stood at the first meeting (Davis v Price [2013] EWHC 323 (Ch) (21 February 2013)).

Binding creditors to an IVA where the court suspends approval (High Court)

Practical Law UK Legal Update Case Report 1-524-3597 (Approx. 5 pages)

Binding creditors to an IVA where the court suspends approval (High Court)

by PLC Restructuring and Insolvency
Published on 26 Feb 2013 • England, Wales
A creditor whose claim against a debtor increases between the first meeting called to consider proposals for an individual voluntary arrangement (IVA) and a subsequent meeting called after the court suspends the approval of the IVA, is bound for the full amount of its claim, not just the claim as it stood at the first meeting (Davis v Price [2013] EWHC 323 (Ch) (21 February 2013)).