Temporary Insolvency Practice Direction issued to extend period over which court processes are adapted to assist court users during the continuing Covid-19 pandemic

New Direction applies to all insolvency proceedings throughout the Business and Property Courts from 1 April 2021 to 30 June 2021

A new Temporary Insolvency Practice Direction (TIPD) that amends court processes to assist court users during the continuing Covid-19 pandemic has been signed and approved on behalf of the Lord Chancellor by Lord Wolfson, Parliamentary Under Secretary of State for the Ministry of Justice.

In force from 1 April 2021 to 30 June 2021, the TIPD replaces and extends the previous TIPD which expired on 31 March 2021 - that set out recommendations to limit in-person contacts in insolvency proceedings including by using electronic communications for progressing cases and using remote hearings where possible.

The Courts and Tribunals Judiciary notes that the new TIPD makes no change to the procedures that are currently being followed for insolvency proceedings during the Covid outbreak, and highlights that the purpose of the measures remains to -

‘…assist court users during the continuing Covid-19 pandemic by avoiding the need for parties to attend court in person, and to deal with some of the problems arising from the need for the court(s) to operate with limited staff and resources. It continues to supplement the Practice Direction – Insolvency Proceedings July 2018 and applies to all insolvency proceedings in the Business and Property Courts subject to variations outside London as directed by the relevant supervising judge. Company work will be dealt with in a comparable way, and all adjourned hearings will be relisted within six weeks.’

For more information, see Extended temporary Insolvency Practice Direction – approved and signed by Lord Wolfson from judiciary.uk