The ‘new normal’ for Statutory Demands and Winding Up Petitions under the Corporate Insolvency and Governance Act 2020. On 26 June 2020, the Corporate Insolvency and Governance Act 2020 (the “Act”) introduced the biggest reforms in a generation of U.K. insolvency law. Corporate The Corporate Insolvency and Governance Act 2020 (“CIGA”) became law on 26 June 2020. Corporate Insolvency and Governance Bill introduced to Parliament. In addition, the Government-enforced social distancing These Explanatory Notes relate to the Corporate Insolvency and Governance Bill as introduced in the House of Commons on 20 May 2020 (Bill 128) 8 8 Policy background 3 Due to the COVID-19 pandemic, many otherwise economically viable businesses are experiencing significant trading difficulties. The Corporate Insolvency and Governance Act 2020 (“CIGA”) came into force on 26 June 2020 after rapid progress through parliament,1 bringing with it significant reforms to the UK’s insolvency framework. The Corporate Insolvency and Governance Act 2020 (the "Act") obtained Royal Assent on 25 June 2020 and came into effect on 26 June 2020. The Corporate Insolvency and Governance Act 2020 ("CIGA") and the speed with which the bill passed through the UK's legislature is therefore very welcome. A more detailed explanation of each of the measures in the Corporate Insolvency and Governance Bill 2020. About Perspective. CIGA sets out the detail of the UK Government’s reforms to the existing restructuring and insolvency regime as part of its response to the economic crisis … This major reform to the UK’s insolvency procedures has been in the pipeline since 2018, but t he draft bill was rushed through parliament in response to the COVID-19 crisis to help companies survive. 18.06.2020: Letter from Lord Callanan to Lord Hope of Craigshead regarding an amendment to the Bill that directors be required to file a list of known creditors with the court to obtain a moratorium (PDF, 89KB) 17.06.2020: Letter from Baroness Bloomfield of Hinton Waldrist to Members regarding issues raised at the committee stage of the Corporate Insolvency and Governance Bill: … The CIGA 2020 represents the biggest change to the UK’s insolvency framework in 20 years. Partner Jeremy Laws provides a further update on the Corporate Insolvency and Governance Act 2020.. The Act is intended to offer protection to businesses that are having difficulties trading due to the current economic downturn and beyond, and generally marks a shift towards a more debtor-friendly regime. Another option, though untested, for corporates subject to corporate insolvency resolution process (CIRP), post-lifting of the suspension of insolvency filings in India, is to get recognition of proceedings in the English Courts under The Corporate Insolvency and Governance Act 2020 (CIGA). An Act to make provision about companies and other entities in financial difficulty; and to make temporary changes to the law relating to the governance and regulation of companies and other entities. Corporate Insolvency and Governance Bill—explanatory notes. To find out more and for subscription enquiries, call us on 0800 980 1332 email@pendragon.co.uk. New Formal Debt Restructuring for Small Businesses Corporate Insolvency and Governance Act 2020 Scenario 1 Impact on derivatives of the new company moratorium and the protection of supplies of goods and services: a digest *Please refer to the explanatory notes Now it is in its final form, Simon Newman and Christopher Pask of 1 Chancery Lane’s Property, Chancery & Commercial team will be providing their views on its … Yesterday, on 7 October 2020, the Treasury released some of the proposed details of the reforms for public consultation. Following the implementation of the Corporate Insolvency and Governance Act 2020 (“CIGA”) earlier this year, and the September regulations extending some of the temporary measures it established, further supplemental regulations came into force on 26 November 2020. Perspective is the electronic information service of … The purpose of this article is to examine some of the details. The most significant insolvency reform in Australia in the last 30 years has been announced. The future’s in the air as the Corporate Insolvency and Governance Act entered into force on 26 June 2020 taking its inspiration from the U.S. Chapter 11 process. On 26 June 2020 the Corporate Insolvency and Governance Act 2020 (‘the 2020 Act’) finally entered force. On November 24, 2020 the Corporate Insolvency and Governance Act 2020 (Coronavirus) (Suspension of Liability for Wrongful Trading and Extension of the Relevant Period) Regulations 2020 were made and they come into effect on November 26, 2020. The government has published the Corporate Insolvency and Governance Bill (Bill).The Bill is partly a response to the COVID-19 pandemic but its reforms also have their roots in the government response to the consultation undertaken after the collapse of BHS. Corporate Insolvency and Governance Bill—factsheets. Government’s response in August 2018 to the Insolvency and Corporate Governance consultation The Corporate Insolvency and Governance Act 2020 (“ CIGA ”) came into force on 26 June 2020 after rapid progress through parliament, 1 bringing with it significant reforms to the UK’s insolvency framework. The overarching objective of CIGA, at least as set out in the government’s explanatory notes, is to provide businesses with “ breathing space ” 2 in order to continue trading in light of the Coronavirus crisis and … Published 1 June 2020 Last updated 5 June 2020 + show all updates These Explanatory Notes have been produced by the Department for Business, Energy and Industrial Strategy in order to assist the reader. Corporate Insolvency And Governance Act 2020—explanatory notes. Having received its first reading in the House of Commons on 20 May 2020, the Corporate Insolvency and Governance Bill was published 26th June 2020 (having received Royal Assent on 25th), resulting in the Corporate Insolvency and Governance Act 2020 (CIGA 2020). The CIGA 2020 is a combination of reactionary, temporary measures designed to help businesses survive the coronavirus pandemic, and permanent measures which were formulated as a result of the Insolvency and Corporate Governance consultation that culminated with the government’s response in 2018. Essential Corporate News: Week ending November 27, 2020.