The Insolvency, Restructuring and Dissolution Act 2018 has extended the applicability of insolvency set-off to companies in judicial management. This presents an interesting issue to how insolvency set-off operates when a company in judicial management transitions into winding up.
This special issue of the Singapore Academy of Law Journal authored by our Restructuring & Insolvency and Special Situations Advisory Partner Clayton Chong and Senior Associate Kwong Kai Sheng discusses the practical consequences for insolvency practitioners and creditors alike and examines the effect of judicial management on the crystallisation of floating charges, which impacts the mutuality required for insolvency set off to operate. (Disclaimer: This article was first published in the SAcLJ Special Issue 2023 on Insolvency.)
Click below to read the full article.