Of rights and rescue: a curious confluence?

Abstract

ABSTRACTThis article considers the recent proposals for the reform of corporate rehabilitation procedures. It examines the impetus for reform, the main features of the proposals and the underlying corporate insolvency landscape in the UK. The article attempts to determine whether the proposals are sufficiently robust in terms of balancing the interests of corporate creditors and the potential for corporate rescue, and how corporate creditors might respond if they consider that their rights are unduly or unfairly relegated. It also questions the utility of the proposed reforms for companies of all sizes, and whether there are omissions in terms of realising their objectives.