On 13 November 2020, the Court of Appeal has given guidance on whether various persons have standing to invoke the supervisory powers of the court to challenge decisions of insolvency officer-holders under s.303(1) (bankruptcy) and 168(5) (liquidation) of the Insolvency Act 1986 and/or under the inherent jurisdiction of the court to supervise its officers.  

In Brake v Lowes; Brake v Swift [2020] EWCA Civ 1491 questions arose (i) whether discharged bankrupts have standing to challenge transactions entered into by their trustee in bankruptcy on grounds that they were unlawful and without authority; and (ii) whether bidders in a bidding competition conducted by liquidators as officers of the court have standing to challenge the resulting sale on the grounds that the bidding was rigged and the process was unfair.

For more information on this, please feel free to get in contact with Knights' Restructuring & Insolvency team.