No, not a question about Southern Rail. I am, of course, talking about the New Rules. Yes, those! I am spending a lot of time at the moment touring the country, talking to practitioners about the changes coming in April, and helping them to get ready.
Yesterday, for the first time, I got into a detailed discussion about the new procedure for putting insolvent companies into voluntary liquidation. No more meetings means no more s98 meetings. In fact, no more s98 at all. ‘Omit s98’ says the amending legislation, using a single succinct word to end a procedure with a history as long as that of commercial private companies.
With no s98 meeting, there is, of course, a new procedure for the creditors to nominate a liquidator. In fact, there are two. There is the ‘deemed consent’ route, and there is the ‘virtual meeting’ route (there is your explanation for the VM in the title). Before yesterday, I’d thought that practitioners would prefer the deemed consent route for routine liquidations. Now, I’m not so sure.
The discussion revealed concerns about how effectively practitioners might be able to secure remuneration properly due to them when using the deemed consent procedure. There also seem to be issues - whichever procedure - about the timetable, which seems to allow less time to deal with things that are outside the practitioner’s control.
It’s going to be interesting to hear what other people think about those two points.
And, if you are wondering, r6.14 is the new s98.