We have had a number of queries relating to the signing of proxy forms on behalf of corporate creditors, arising from the coming into force of the Insolvency (England and Wales) Rules 2016, which sought to modernise the Insolvency Rules 1986.
Under the old rules, Rule 8.2(3) allowed anyone “authorised” by the corporate creditor to sign on its behalf. Under the new rules, this wording has been removed. This begs the question: do the new rules restrict the power of a corporate creditor to appoint another person to sign proxy forms?
The answer, fortunately, is most likely: no.
Whilst the new rules are silent on the point, a review of the template proxy form created by the Insolvency Service suggests the position has not changed, as the template includes an area to instead the information “relationship to creditor”, noted as to be filled in if the form is not signed by the creditor in person.
Therefore, outside of differences in wording in the two sets of rules, there does not appear to be any significant change to who may or may not sign a proxy form on behalf of a company creditor.
For more information, please do not hesitate Tim Berg, Partner and Head of Insolvency on 0191 232 0283 or email@example.com.