Insolvency Act 1986 s.35 – Application to court for directions

(1)A receiver or manager of the property of a company appointed under powers contained in an instrument, or the persons by whom or on whose behalf a receiver or manager has been so appointed, may apply to the court for directions in relation to any particular matter arising in connection with the performance of the functions of the receiver or manager.

(2)On such an application, the court may give such directions, or may make such order declaring the rights of persons before the court or otherwise, as it thinks just.

Definitions used in section 35 2

the company: 2 Section 233B does not apply in relation to a contract for the supply of goods or services to a company (“the company”) where any of paragraphs 3 to 11 applies.
Defined in Sch.4ZZA para.2 · see it in the full Act
company: (1) In this Chapter “company” means a company registered under the Companies Act 2006 in England and Wales or Scotland.
Defined in s.28(1) · see it in the full Act

Cases considering section 35 7

Hull & Anor (Re Harmony Care Homes Ltd) v NHP Securities No 3 Ltd & Ors

[2009] EWHC 1961 (Ch) · 29 July 2009

The court exercised its jurisdiction to give directions to the administrative receivers concerning the application and distribution of the book-debt proceeds.

Golden Key Ltd, Re Insolvency Act 1986

[2009] EWHC 148 (Ch) · 4 February 2009

Applies the court’s power to give directions to receivers concerning the application of company funds and the construction of the contractual payment priorities. The proceedings were brought under this section to resolve the competing claims of noteholders. (see para [24])

HH Aluminium & Building Products Ltd & Anor v Bell & Anor (Rev 1)

[2020] EWCA Civ 1469 · 9 November 2020

The provision was used illustratively to show that a receiver's application to the court can be insolvency proceedings for the 2016 Rules despite falling outside the EU Regulation's listed proceedings. (see para [32])

X (Court of Protection Practice), Re[2015] EWCA Civ 599 · 16 June 2015
Arthur J S Hall & Co v Simons[1998] EWCA Civ 3539 · 14 December 1998
Rayford Homes Ltd v Bank of Scotland Plc & Anor[2011] EWHC 1948 (Ch) · 23 July 2011
Sigma Finance Corporation, Re Insolvency Act 1986[2008] EWHC 2997 (Ch) · 7 November 2008

What each judgment says about section 35 is in the case-law panel in the full Act.

Amendments and notes

1 notes from legislation.gov.uk

Modifications

C188S. 35 amended (1.12.2001) by 2000 c. 8, s. 363(2); S.I. 2001/3538, art. 2(1)