Court of Appeal rules on jurisdictional gateway for claim under s. 423 Insolvency Act 1986

17 July 2018

Court of Appeal rules on jurisdictional gateway for claim under s. 423 Insolvency Act 1986

In a reserved judgment handed down on Friday 13th July 2018 in Orexim Trading Limited v Mahavir Port and Terminal Private Limited [2018] EWCA Civ 1660 the Court of Appeal held that paragraph 3.1(20)(a) of Practice Direction 6B of the CPR provides a ‘jurisdictional gateway’ for service out of the jurisdiction of a claim under section 423 of the Insolvency Act 1986. Thus, provided that there is a serious issue to be tried, a sufficient connection with the jurisdiction and England and Wales is clearly the appropriate forum for hearing the dispute, a claim under section 423 of the Insolvency Act 1986 may be served out of the jurisdiction on a foreign defendant.

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