CD: Could you provide an overview of the most significant trends and developments to have arisen in the bankruptcy litigation arena over the past 12 months to 18 months?
Montgomery: Rather than a restructuring being a matter between the debtor and its various groups of creditors, in the UK we are increasingly seeing high-profile insolvencies being played out in the public domain as parliament has shown itself ready to intervene where there has been loss or perceived injustice to the employees or pensioners of a business. Select Committee enquiries can be wide ranging and will not necessarily be conducted along the same lines and according to the same principles as the regulatory investigations with which many parties will be familiar. Prompt cooperation and thorough preparation are essential if both debtors and creditors are to avoid very public criticism. In conjunction with the more activist stance taken by the legislature, relevant UK regulators are also beginning to take a more active interest in insolvency processes. The powers of the Pensions Regulator in particular are extensive and parties should ensure they have the specialist support required to navigate the technical issues which may arise.
Jan-Mar 2018 issue
Freshfields Bruckhaus Deringer LLP
Kirkland & Ellis International LLP
Skadden, Arps, Slate, Meagher & Flom LLP