Rule 1.9 of The Insolvency Rules 1986 - Company Voluntary Arrangements (CVAs)

Summoning of CVA creditors & shareholder meetings under Rule 1 and S 3 of The Insolvency Act 1986 - Notice requirements

 

 

If it were the directors of a company that proposed a particular Company Voluntary Procedure proposal then the procedure for calling the meetings of shareholders and creditors (to consider the proposal) is set out in Rule 1.9 of The Insolvency Rules 1986.

 

The actual wording of Rule 1.9 of The Insolvency Rules 1986 is recorded below in bold.

 

Insolvency Rules 1986 - Rule 1.9 - Summoning of meetings under Section 3 of The Insolvency Act 1986

 

(1) If in his report the nominee states that in his opinion meetings of the company and its creditors should be summoned to consider the directors' proposal, the date on which the meetings are to be held shall be not...more than 28, days from that on which the nominee's report is filed in court under Rule 1.7.

 

(2) Notices calling the meetings shall be sent by the nominee, at least 14 days before the day fixed for them to be held—

(a) in the case of the creditors' meeting, to all the creditors specified in the statement of affairs, and any other creditors of the company of [whose address the nominee]  is otherwise aware; and

(b) in the case of the meeting of members of the company, to all persons who are, to the best of the nominee's belief, members of it.

 

(3) Each notice sent under this Rule shall specify the court to which the nominee's report under section 2 has been delivered and shall state the effect of Rule 1.19(1), (3) and (4) (requisite majorities (creditors)); and with each notice there shall be sent—

(a) a copy of the directors' proposal;

(b) a copy of the statement of affairs or, if the nominee thinks fit, a summary of it (the summary to include a list of creditors and the amount of their debts); and

(c) the nominee's comments on the proposal

 

 

Insolvency Rule 1.9 sets out how much notice must be given (by the nominee to a CVA proposal)  to shareholders and creditors of where and when meetings to consider the proposal are to be held.