Legislation – Commercial Rent (Coronavirus) Act 2022

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PART 3Moratorium on certain remedies and insolvency arrangements

25Temporary restriction on initiating certain insolvency arrangements

(1)

This section applies where the matter of relief from payment of a protected rent debt has been referred to arbitration.

(2)

During the relevant period—

(a)

no proposal for a company voluntary arrangement under section 1 of the Insolvency Act 1986 which relates to the whole or part of the debt may be made,

(b)

no proposal for an individual voluntary arrangement under section 256A of that Act, or an application for an interim order under section 253 of that Act, which relates to the whole or part of the debt may be made, and

(c)

no application for a compromise or arrangement under section 896 or 901C of the Companies Act 2006 (court orders for holding of meetings) which relates to the whole or part of the debt may be made.

(3)

In this section “the relevant period” means the period beginning with the day on which an arbitrator is appointed and ending with—

(a)

where the arbitrator makes an award in accordance with section 14, the day which is 12 months after the day on which that award is made,

(b)

where the arbitrator makes an award dismissing a reference under section 13(2) or (3), the day on which that award is made,

(c)

where an award made in accordance with section 14 is set aside on appeal, the day on which that decision is made, or

(d)

where the arbitration proceedings are abandoned or withdrawn by the parties, the day of that abandonment or withdrawal.

(4)

This section, so far as relating to a company voluntary arrangement and a compromise or arrangement under section 899 or 901F of the Companies Act 2006, applies to limited liability partnerships (as well as to companies).