Court of Appeal finds administrator appointment arguably invalidated because of appointor’s improper purpose

Andrew Cooke, Ceri Morgan and Janelle Chang of HSF Kramer consider a Court of Appeal ruling that an out-of-court administrator appointment may be invalid where the appointor’s sole subjective purpose was to acquire the company’s business and assets rather than pursue a statutory administration objective, while also finding that a chargee’s contractual right to request information may be constrained by an implied requirement to act for legitimate commercial aims.

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