Step-in rights and the right to appoint an administrative receiver

United Kingdom

The first case has been reported (Times Law Report, 24 February 2005) on the appointment of an administrative receiver under the project finance step-in rights exception.

The exception was introduced by the Enterprise Act 2002, under section 72A of the Insolvency Act 1986. In the case of Feetum v Levy the exception was held not to apply and therefore administrative receivers could not be appointed.