REFORMING CORPORATE RESCUE MECHANISMS
The theme of this collection of essays is the reform of UK Company Law. That reappraisal process has largely manifested itself through the laudable efforts of the Company Law Review Project. However, it must not be assumed that this project has taken sole ownership of the revision of the entirety of company law. Many key areas, for better or for worse, fell outside its purview, as the initial terms of reference made clear. Financial services and corporate insolvency, key components in any modern system of companies regulation, are but two examples of excluded subject areas.1 One can understand the pragmatic reasons for this ordinance of self-denial, but it is a fallacy to assume that the ‘core’ of companies regulation can be evaluated without reference to matters of corporate insolvency. Fortunately, the Company Law Review team has not taken a blinkered approach to its task and has kept a close eye on developments in corporate insolvency law reform. Conversely, even within the ‘core’ area the Law Commission has played a significant revising role (for example, with regard to directors’ duties2 and shareholder remedies3). In this chapter it is intended to review the progress of reform in the area of corporate rescue, a subject which has not been considered in either forum, over the past 20 years and to indicate where further change is likely.