1. Executive Summary
One of the fundamental features of insolvency law is that it makes choices as to the order in which creditors should be entitled to receive any distribution from the debtor's assets. The discussion paper examines:
The criteria that ought to be applied in determining whether any particular debt should be afforded preferential status; and
Whether the existing priorities as set out in section 104 of the Insolvency Act 1967 (for personal insolvency) and the Seventh Schedule to the Companies Act 1993 (for corporate insolvency) can be justified when tested against these criteria.
Back to Top