Isle of Man: winding-up orders and the inherent jurisdiction of the court

Judgment was given several days ago in Spirit of Montpelier v Lombard Manx (Case 9 of 2014): see here. This is an important decision on the role of the court in the context of insolvency. The court unanimously held that the Manx courts have an inherent jurisdiction at common law to review, rescind or vary a winding-up order where such an order is necessary in the interests of justice. This jurisdiction, the court held, should only be exercised where there has been a material change in circumstances since the making of the order, or if the facts on which the original order had been made were mistaken, innocently or otherwise, or if there had been a manifest mistake on the part of the judge in formulating the order.