Part 4 - Annulment following approved IVA

July 2008

Part 4  - Annulment following approved IVA

6A.60 Notice period for application following approved individual voluntary arrangement (IVA) 

(Amended April 2010)

Where the application is made following the approval of an IVA and the bankrupt makes the application for annulment [Note 1], he/she must give 5 business days notice of the venue of the hearing (in cases where the bankruptcy petition was presented before 6 April 2010 the notice period is 7 days). Such notice must be accompanied by copies of the application and witness statement and be given to the official receiver, the supervisor of the voluntary arrangement and any insolvency practitioner trustee [Note 2].

  

6A.61 Application by official receiver following approved IVA

(Amended April 2010)

In the unlikely event that the official receiver makes the application for an annulment following the approval of a voluntary arrangement he/she must give notice of the venue, accompanied by copies of the application and the report,  to the bankrupt not less than 7 days before the date of the hearing      (this time limit applies to cases where the petition was presented before 6 April 2010).

Post 6 April 2010 petition cases:

In all post 6 April 2010 petition cases, where the official receiver makes an application for an annulment following the approval of a voluntary arrangement [Note 15], he/she may not make the application until the expiry of 42 days beginning with the day on which a specific event occurs either:

  1. Where there is an interim order in place under section 253 and the nominee has reported to the court that a meeting of the debtor’s creditors should be summoned to consider the debtor’s proposal, the 42 days begins on the day the nominee files the report of the creditors’ meeting with the court [Note 16] [Note 17] [Note 18]; or
  2. Where there is no interim order in place and the nominee has reported to the debtor’s creditors that a meeting of creditors should be summoned to consider the debtor’s proposal, the 42 days begins on the day the result of the creditors’ meeting is notified to the creditors [Note 16] [Note 19] [Note 20].

The official receiver must give notice of the venue, accompanied by copies of the application and report, to the bankrupt not less than 5 business days before the date of the hearing [Note 5].

  

6A.62 Time and rate fee to be recovered by official receiver

(Amended February 2014)

Should the official receiver find him/herself in the position of being required to make an application for annulment of the bankruptcy order following an IVA [Note 4][Note 5] (e.g. as a result of the failure of the bankrupt or supervisor to make the application to annul the bankruptcy order) he/she should seek to recover a fee from the bankrupt or supervisor, calculated on a time and rate basis together with his/her expenses, including any insurance costs incurred (see paragraph 49.19).

 

6A.63 Official receiver’s report to court following approved IVA

(Amended April 2010)

Where the official receiver makes an application for the annulment of the bankruptcy order following the approval of a voluntary arrangement [Note 4] it must be supported by a report stating the grounds on which the application is made.

Pre 6 April 2010 petition cases:

The report should also state that the time period for challenging the decision of the meeting agreeing the voluntary arrangement under section 262(1) has expired and that the official receiver is not aware that any application or appeal remains to be disposed of [Note 6].

Post 6 April 2010 petition cases:

For all post 6 April 2010 petition cases the report should state that the period of 42 days has expired subject to the relevant event under Rule 5.55(2) as amended (see paragraph 6A.61), and should also state that the official receiver is not aware that any application or appeal remains to be disposed of [Note 11].

 

6A.64 Paragraph deleted May 2015 

 

6A.65 Paragraph deleted May 2015 

 

6A.66 Paragraph deleted May 2015 

 

6A.67 Action by court following approved IVA  (amended May 2015) 

Where the application for annulment follows the approval of an IVA, the official receiver or any other applicant should stress to the court that the legislation requires that “the court shall annul the bankruptcy on the application” [Note 13]. This may remove the requirement for a hearing or for the official receiver’s attendance at the annulment hearing in these circumstances, as the court could annul the bankruptcy following receipt of the official receiver’s written consent.

 

[Back to Part 3 Annulment order on grounds “debts and expenses paid in full”] [On to Part 5 Costs and fees on annulment ]