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Professor Charlotte Villiers once referred to the employment contract adoption issue in insolvency law as having a history which was best described as "chaotic.” (see: Villiers, C. Employees as creditors: a challenge for justice in insolvency law  Comp. Law, 20(7), 222-232). The decisions in Nicoll v. Cutts (1985) 1 B.C.C. 99, Re Specialised Mouldings Ltd (unreported) February 13th, 1987, and Powdrill v. Watson  2 BCLC 118 certainly caused some issues for the rescue culture, insolvency practitioners and employees, which the Insolvency Act 1994 went some way to remedy. This group of decisions and the statute could be accounted one of the landmark moments for the rescue culture just as the 2005 Re Spectrum judgment was a landmark moment for the extension of security and classification of fixed and floating charges. On historical landmarks in insolvency law see Graham, D. A dark and neglected subject: landmarks in the reform of English insolvency law (2002) I.I.R, 11(2), 97-119.
"This is the ultimate statement of where the law on IVAs is to be found in our great common law...