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In a case with a tortuous procedural history, without notice, a bankrupt, H, applied for, and obtained, without notice an order suspending his automatic discharge from bankruptcy so as to allow him to put a post-bankruptcy Individual Voluntary Arrangement (IVA) proposal to his creditors. The trustee in bankruptcy, B, applied to set aside the order, on the basis that he had concerns as to the proposal. Arnold J dismissed the application. There were issues as to whether H had sufficiently complied with his obligations such that B would have been entitled to seek an order suspending discharge. In those circumstances, it was for the creditors to decide whether they would take the risk of a potential minimal recovery in an IVA, compared with little prospect of a recovery in the bankruptcy.
"This is the ultimate statement of where the law on IVAs is to be found in our great common law...