The Insolvency Act 1986 (c 45) is an Act of the Parliament of the United Kingdom that provides the legal platform for all matters relating to personal and corporate insolvency in the UK.
The Insolvency Act 1986 followed the publication and most of the findings in the Cork Report, including the introduction of the Individual Voluntary Arrangement (IVA) and Company Voluntary Arrangement (CVA) procedures.
Elements of the Act have been updated by the Enterprise Act 2002 which came into enforcement on 1 April 2004 and introduced amongst other things the popular "out-of-court" administration route.
Those considering the main Act should also refer to the Insolvency Rules 1986 and numerous Regulations and other amending legislation since 1986, and also to the best practice which applies to the administration of formal insolvency matters set out in the Statements of Insolvency Practice (SIPs) approved by the insolvency practitioner authorising bodies.
The Insolvency Act 1986 essentially governs issues relating to personal bankruptcy and Individual Voluntary Arrangements and all administrative orders relating to company insolvency.
Part I - Company Voluntary Arrangements
Part II - Administration Orders
Part III - Receivership (ss 22-72H)
Chapter I - Receivers and Managers (England and Wales)
Chapter II - Receivers (Scotland)
Chapter III - Receivers Powers in Great Britain as a whole
Part IV - Winding Up of Companies Registered Under the Companies Acts (ss 73-219)
Chapter I - Preliminary
Chapter II - Voluntary Winding Up (Introductory and General)
Chapter III - Members Voluntary Winding Up (ss 91-96)
Chapter IV - Creditor' Voluntary Winding Up (ss 97-106)
Chapter V - Provisions Applying to both kinds of Winding up
Chapter VI - Winding Up by the Court (ss 117-162)
Chapter VII - Liquidators
Chapter VIII - Provisions of general application in winding up
Chapter IX - Dissolution of companies after winding up
Chapter X - Malpractice before and during Liquidation; Penalisation of companies and company officers; Investigations and prosecutions (ss 206-219)
Part V - Winding Up Unregistered Companies (ss 220-229)
Part VI - Miscellaneous Provisions applying to Companies which are Insolvent or in Liquidation
Part VII - Interpretation for first group of parts
Part VIII - Individual Voluntary Arrangements
Part IX - Bankruptcy (ss 264-371)
Chapter I - Bankruptcy Petitions - Bankruptcy Orders
Chapter II - Protection of Bankrupt's Estate and Investigation of his Affairs
Chapter III - Trustees in Bankruptcy
Chapter IV - Administration by Trustee
Chapter V - Effect of Bankruptcy on certain rights, transactions etc.
Chapter VI - Bankruptcy Offences
Chapter VII - Powers of Court in Bankruptcy
Part X - Individual Insolvency: General Provisions
Part XI - Interpretation for second group of parts
Part XII - Preferential debts in company and individual insolvency
Part XIII - Insolvency Practitioners and their qualifications (ss 338-398)
Part XIV - Public Administration (ss 399-410)
Part XV - Subordinate Legislation
Part XVI - Provisions against debt avoidance (England and Wales Only)
Part XVII - Miscellaneous and General
Part XVIII - Interpretation
Part XIX - Final Provisions
Schedule B1, on the new administration procedure after the Enterprise Act 2002
