Buy custom "Reforms made by the Enterprise Act 2002 to the laws regarding administrative receivership, administration and preferential debt-holding created a fairer and more efficient corporate insolvency regime." Discuss.
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Therefore the fairness it brings is not very significant at the moment, but it should become more significant as time passes.
Regarding to administration, there are a few key changes by EA 2002. Firstly, the purpose of administration has been affected. It states in IA 1986, Sch B1, para 3 that the prime objective of administration is to rescue the company as a going concern...
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It states in IA 1986, Sch B1, para 3 that the prime objective of administration is to rescue the company as a going concern. If this is not reasonable practicable, the object will be to achieve a better result for the company's creditors as a whole that would be likely if the company were wound up. Finally, if neither of them is reasonably practicable, the objective is to realize property in order to make a distribution to one or more secured or preferential creditors...
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"Reforms made by the Enterprise Act 2002 to the laws regarding administrative receivership, administration and preferential debt-holding created a fairer and more efficient corporate insolvency regime." Discuss.
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