Principles of Corporate Insolvency Law

Principles of Corporate Insolvency Law (3rd edn Thomson, London 2005) by Roy Goode of the University of Oxford is a leading textbook on UK insolvency law. The forthcoming edition in 2010 will be taken over by Professor Robert Stevens, of University College London.

Outline of principles

Professor Goode's suggested ten principles of corporate insolvency law are as follows.[1]

  1. corporate insolvency law recognises rights accrued under the general law prior to liquidation
  2. only the assets of the debtor company are available for its creditors
  3. security interests and other real rights created prior to the insolvency proceeding are unaffected by the winding up
  4. the liquidator takes the assets subject to all limitations and defences
  5. the pursuit of personal rights against the company is converted into a right to prove for a dividend in the liquidation
  6. on liquidation the company ceases to be the beneficial owner of its assets
  7. no creditor has any interest in specie in the company's assets or realisations
  8. liquidations accelerates creditors' rights to payment
  9. unsecured creditors rank pari passu
  10. members of a company are not as such liable for its debts

See also

Notes

  1. see ch 3, 69-81

References

External links

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