The Insolvency (England and Wales) (No.2) (Amendment) Rules 2021

Amendment of Part 3 of the Insolvency Rules

This section has no associated Explanatory Memorandum

27.  After rule 3.51 insert—

Priority of moratorium debts in subsequent administration

3.51A.  Where paragraph 64A(1) of Schedule B1 applies, the moratorium debts and priority pre-moratorium debts mentioned in paragraph 64A(2) of that Schedule are payable in the following order of priority—

(a)amounts payable in respect of goods or services supplied during the moratorium under a contract where, but for section 233B(3) or (4)(1), the supplier would not have had to make that supply;

(b)wages or salary arising under a contract of employment, so far as relating to a period of employment before or during the moratorium;

(c)other debts or other liabilities apart from the monitor’s remuneration or expenses; and

(d)the monitor’s remuneration or expenses..

(1)

Section 233B was inserted by section 14 of the Corporate Insolvency and Governance Act 2020 (c.12).