We’ll send you a link to a feedback form. The Bill is designed to help Companies, charities, co-operatives and limited liability partnerships during the COVID pandemic to avoid insolvency and continue trading where there is a prospect (in the opinion of a licensed insolvency practitioner) that the Company can recover over the longer term. Explanation of what happens after Bills have been passed, and when laws may change. Extension under section A10 or A11 of the Insolvency Act 1986: notices and statements. Corporate Insolvency and Governance Act 2020, Sustainability and environmental performance in Parliament, Work placements and apprenticeship schemes, Vote in general elections and referendums, Department for Business, Energy and Industrial Strategy, Read debates on all stages of the Corporate Insolvency and Governance Act 2020, Corporate Insolvency and Governance Act 2020 (c. 12). 30 June 2020: The Corporate Insolvency and Governance Act 2020 received Royal Assent on Friday (26 June). Extension under section A10 or A11 of the Insolvency Act 1986: notices and statements. Published 1 June 2020 Last updated 5 June 2020 — see all updates. Timing of statements for extension under section A10 or A11. A company is insolvent if it is unable to pay its debts as they fall due (cash-flow insolvency), or has liabilities which exceed its assets (balance–sheet insolvency). Legislation to prohibit suppliers exercising termination clauses. 7 2 Commencement The Corporate Insolvency and Governance Bill was read in UK Parliament at the end of May and is likely to be welcomed by many struggling firms facing potential insolvency due to coronavirus. It makes some permanent changes to existing insolvency law, and introduces some temporary measures designed to help businesses cope with the after-effects of COVID-19. The Corporate Insolvency and Governance Bill 2020. On 28 March 2020, the UK Government announced plans to bring forward legislation to introduce new measures to aid restructuring of companies. The Corporate Insolvency and Governance Bill (the “Bill”) was laid before Parliament on 20 May 2020 and represents the most extensive changes in the insolvency landscape since the Enterprise Act came into force in 2003. Corporate Insolvency & Governance Bill 2020. It came into force on 26 June 2020. The new Corporate Insolvency and Governance Act 2020 (the "CIGA"), which came into force on 26 June 2020, extends the UK's existing "essential supplies" regime (which ensures that certain critical supplies such as gas, electricity, water and IT continue to be available to a company post-insolvency) by introducing a so-called 'ipso facto' (termination) provision to the Insolvency Act 1986. The Corporate Insolvency and Governance Bill has been a demonstration of what can be achieved in the best interests of businesses, jobs and the country’s economic future when there is collaborative work across both sides of the House. Lord Callanan Share this specific contribution. The UK government has published its Corporate Insolvency and Governance Bill, aimed at helping companies maximise their chances of survival, protecting jobs and supporting the UK's economic recovery. Do you have expertise or a special interest in human rights? The Corporate Insolvency and Governance Bill introduction means that creditors are prevented from presenting a winding-up petition to the court against a company on or after 27 April 2020 on the basis of a Statutory Demand or pre-winder letter which was served between 1 March 2020 and 30 June 2020 and effectively renders any Statutory Demand served between those dates null and void. Second Reading. The Corporate Insolvency and Governance Bill was read in UK Parliament at the end of May and is likely to be welcomed by many struggling firms facing potential insolvency due to coronavirus. The Bill is scheduled to be examined at the committee stage in the House of Lords on 16 June 2020. The Corporate Insolvency and Governance Bill was first read to Parliament on 20 May 2020. On 20 May 2020 the Government introduced the much-awaited Corporate Insolvency and Governance Bill (“the CIGB”) to Parliament. , 2020 Corporations Amendment (Corporate Insolvency Reforms) Bill 2020 1 1 A Bill for an Act to amend the law in relation to 2 insolvency, and for related purposes 3 The Parliament of Australia enacts: 4 1 Short title 5 This Act is the Corporations Amendment (Corporate Insolvency 6 Reforms) Act 2020. 63. For further details of the pensions implication of the Bill, please see our briefing below: “The Corporate Insolvency and Governance Bill – a pensions perspective”. Whilst bills are often subject to change we think that the current draft provides a good indication of what the substantive changes will be given the levels of consultation preceding its first reading. The Corporate Insolvency and Governance Act 2020 (“CIGA 2020”) received Royal Assent on Friday 26 June 2020, having passed through Parliament in a little more than a month.