Re Continental Assurance Co of London plc
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| Re Continental Assurance Co of London plc | |
|---|---|
| Court | High Court |
| Citation | [2007] 2 BCLC 287; [2001] All ER (D) 229 |
| Keywords | |
| Wrongful trading | |
Re Continental Assurance Co of London plc [2007] 2 BCLC 287 (also, Singer v. Beckett) is a UK insolvency law case on wrongful trading under section 214 of the Insolvency Act 1986.
Continental Assurance plc had gone into insolvent liquidation. The liquidators submitted that the directors were guilty of wrongful trading (Insolvency Act 1986 section 214). They had continued to trade after a crisis meeting, which should have made clear there was no reasonable prospect of coming out of insolvency. The liquidators also alleged misfeasance (section 212) through years of disorganised financial and accounting records and this was what made it difficult to tell whether the company was insolvent. Furthermore, payments to two other companies, IATA and ABTA, showed misfeasance.