Module Identifier LAM0720  
Academic Year 2003/2004  
Co-ordinator Mr Andrew Campbell  
Semester Intended for use in future years  
Next year offered N/A  
Next semester offered N/A  
Course delivery Seminars / Tutorials   2 Hours Seminar. This course is taught through postgraduate seminars of one and a half hours held once a week. See timetable for times and rooms.  
Assessment TypeAssessment Length/DetailsProportion
Semester Assessment Essay: Students may choose one of the following: 1. 2 x 2500-3000 word essays. 2. 1 x 5000-6000 word essay80%
Semester Assessment Seminar Presentation:  20%

Learning outcomes

On completion of the module students should be able to critically assess the law in this area and to analyse the issues from both
a theoretical and a practical perspective. Students will develop a detailed understanding of some of the complex legal issues in
corporate insolvency as well as the alternatives to liquidation which the legal provisions now make possible.


International Corporate Rescue is divided into three parts. The first part deals with the liquidation process and both voluntary
and compulsory liquidations are covered. The second part is concerned with the possible rescue of insolvent companies and it
focuses on corporate rescue provisions in the UK. Rescue procedures in other jurisdictions in the EU as well as the United
States, Australia and Ireland are examined for comparative purposes as this will provide students with an appreciation of the
increasingly international nature of corporate insolvency law. The final part of this course is concerned with the duties and
potential personal liability of directors of insolvent companies and such matters as wrongful trading, fraudulent trading,
misfeasance and disqualification will be covered.


1. Liquidation

i. Voluntary liquidation - an examination of the way in which this insolvency procedure operates including the role of the
creditors, the role of the court, the appointment, powers and duties of the liquidator.

ii. Compulsory liquidation - the grounds for petition and the legal procedure will be examined as will the legal controls for
protecting assets between the date of petition and the making of the winding-up order - the appointment of the liquidator and
the powers and duties - proof of debts.

2. Company Rescue and Alternatives to Liquidation

i. Introduction to the concept of corporate rescue mechanisms including the Cork recommendations

ii. The use of informal procedures including the London approach

iii. The company voluntary arrangement

iv. The administration order procedure: as this is the principal corporate rescue vehicle it will be studied in detail with particular
consideration being given to the body of case law which has developed since the introduction of the 1986 Act.

v. Corporate rescue mechanisms in other jurisdictions including Chapter 11 in the United States and the new Australian

vi. An introduction to administrative receivership with particular emphasis on its effect on administration and its possible use as
a vehicle for company rescue

3. Duties and Liabilities of Directors of a Insolvent Companies

i. The duties of directors to creditors will be examined and in particular sections 213, 214 of the Act and misfeasance will be

ii. The disqualification provisions contained in the Company Directors Disqualification Act 1986 will be analysed.

iii. Other jurisdictions.

Reading Lists

Totty & Jordan, Insolvency ( Loose Leaf Encyclopaedia)
Campbell, International Corporate Insolvency Law
Clarke, Current Issues in Corporate Insolvency Law
Rajak Insolvency Law: Theory & Practice
Pennington Corporate Insolvency Law 2nd.
Goode, Principles of Corporate Insolvency Law 2nd.
Brown, Corporate Rescue
Students should purchase a copy of Sealy & Milman, Annotated Guide to the Insolvency Legislation, 4th.
Milman & Durrant, Corporate Insolvency: Law and Practice


This module is at CQFW Level 7