“The anti-deprivation rule, which as a matter of public policy prevented parties from contracting out of the insolvency legislation by removing assets otherwise available for creditors, did not apply to complex contractual provisions by which investors were granted rights over assets derived from their own moneys, rights which were modified when an event of default happened, or to licence termination and share option provisions operative on insolvency which did not contravene the Insolvency Act 1986. The rule did not normally apply to a deprivation completed before the liquidation, bankruptcy or its equivalent occurred.”
WLR Daily, 10th November 2009
Source: www.lawreports.co.uk
Please note once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.
