In late June 2020, the UK’s Corporate Insolvency and Governance Act (the Act) became law. While the Act was passed in response to the Coronavirus Disease 2019 (COVID-19) pandemic and its economic ramifications, it represents a significant legislative step forward in promoting the “rescue culture” in respect of financially distressed business enterprises, a policy objective that goes beyond COVID-19. This GT Alert relates, in the main, to the concept of the moratorium (the Moratorium), which is central to the architecture of the Act and the achievement of its policy objectives.
