Outcome
Individual claims
Claim struck out because the respondent company is in compulsory liquidation and the claimant failed to obtain court permission to continue proceedings as required by the Insolvency Act 1986. Additionally, the claimant failed to provide acceptable reasons why the claim should not be struck out after being given 14 days to respond, indicating the claim had not been actively pursued.
Facts
The claimant brought a claim against SYS2014 Limited. The respondent company entered compulsory liquidation. The claimant failed to obtain permission from the court to continue proceedings against the insolvent company as required by the Insolvency Act 1986. On 22 May 2025, the tribunal gave the claimant 14 days to provide written reasons why the claim should not be struck out for lack of active pursuit, but the claimant failed to provide acceptable reasons.
Decision
The tribunal struck out the claim on two grounds: first, the claimant had not obtained the necessary court permission to continue proceedings against a company in compulsory liquidation as required by the Insolvency Act 1986; and second, the claimant failed to actively pursue the claim or provide acceptable reasons for not doing so when given the opportunity.
Practical note
Claims against companies in compulsory liquidation require court permission under the Insolvency Act 1986 and will be struck out if this permission is not obtained, regardless of the merits of the underlying claim.
Legal authorities cited
Statutes
Case details
- Case number
- 2410874/2023
- Decision date
- 3 June 2025
- Hearing type
- strike out
- Hearing days
- —
- Classification
- procedural
Respondent
- Name
- SYS2014 Limited
- Sector
- —
- Represented
- No
Claimant representation
- Represented
- No