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The Court of Appeal (Mummery, LJ, Hughes, LJ, Etherton, LJ) has handed down its judgment in re Kaupthing Singer & Friedlander Ltd (in administration)  EWCA Civ 518;  WLR (D) 119. The case concerns a judicial consideration of Insolvency Rules 1986 (SI 1986/1925), rr 2.85, 2.105 (as substituted by Insolvency (Amendment) Rules 2003 (SI 2003/1730), Sch 1, para 9 and Insolvency (Amendment) Rules 2005 (SI 2005/527), rr 9, 14(1)). The learned judges held that, "After the set-off of cross-claims as between a company in administration and one of its creditors, the balance payable by a creditor to the company under r 2.85(8) of the Insolvency Rules 1986 in respect of a future debt was not to be a sum discounted to present value under r 2.105 but was to be an equivalent undiscounted amount."
"This is the ultimate statement of where the law on IVAs is to be found in our great common law...