Tag Archives: suspension

UK Government’s Temporary Suspension of Wrongful Trading Liability During COVID-19 Crisis

On 14 May 2020, the UK Government extended the temporary suspension of wrongful trading liability until 30 June 2020.

On 28 March this year, the Government announced that it would “at the earliest opportunity“ introduce legislation, retrospective to 1 March 2020, to relax the insolvency rules which can make directors of limited liability companies potentially liable if they continue to trade and incur liabilities when they knew or ought to have concluded that there was no reasonable prospect of avoiding an insolvent liquidation or administration.

To read the full text of this post by Duane Morris partner Linda Crow, please visit the Duane Morris London Blog.