Thursday, 26 July 2012

UK: England and Wales: restoration to the register and the effect of section 1032

Section 1032(1) of the Companies Act 2006 provides that the "... general effect of an order by the court [under section 1029] for restoration to the register is that the company is deemed to have continued in existence as if it had not been dissolved or struck off the register". Yesterday* the Court of Appeal gave judgment in Peaktone Ltd v Joddrell [2012] EWCA Civ 1035. The principal question before the court concerned the effect of section 1032(1) and whether it operated to retrospectively validate an action purportedly commenced by or against a company during the period of its dissolution. The court unanimously held that it did.

* - The judgment appeared on BAILII yesterday although it bears today's date.

Update (27 July 2012): a summary of the decision has been published by the ICLR - see here.

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