Are Public Bodies able to continue to pay contractors (and their supply chains) at risk as a result of Covid-19?

Ward Hadaway in conversation with Begbies Traynor webinar was recorded on Tuesday 16th June.

The business spotlight is firmly on Directors. Difficult, sometimes drastic decisions need to be made in unprecedented times. But the consequences of those decisions have long shadows, and Directors need to consider their future position through the lens of their creditors, shareholders, funders, HMRC and even the courts.

In conversation with leading business rescue and recovery specialists, Begbies Traynor, we focused on the proactive approach Directors can take in these exceptionally challenging times. We discussed very practical advice about the quickest routes to funding, how to bolster cash flow, protecting the Board, and ultimately how to be proactive and in control of the process if you think there is no way back for your business as a result of the pandemic.

It is important to note that the changes to insolvency law currently before parliament only deal with wrongful trading – all other duties remain the same. So Directors must still ensure they are acting in the best interests of the company, its shareholders and creditors. In this context, the webinar discussed funding options for keeping a business solvent, and how to manage the process if this is not possible.

Ward Hadaway partner Emma Digby talked to fellow partner and insolvency specialist Jane Garvin and Kris Wigfield and Matthew Cluer from Begbies Traynor about these issues.

This webinar is the first of our Yorkshire “In conversations with…” where we explore with other experts how businesses can get on the front foot in #gettingbacktobusiness.

CMA guidance suggests that it will not take enforcement action in respect of agreements which:

• Are appropriate and necessary to avoid a shortage, or ensure security, of supply
• Are clearly in the public interest
• Contribute to the benefit or wellbeing of consumers
• Deal with critical issues that arise as a result of the Covid-19 pandemic
• Last no longer than is necessary to deal with these critical issues

Where it is envisaged that 20 or more employees will be dismissed at a relevant establishment within a 90 day period or less, then collective consultation is required (in addition to individual consultation) and the company must inform BEIS (using form HR1).

If there are less than 20 dismissals then you are only required to carry out individual consultation.

Yes. The Land Registry published a new service update on 14 May, here:

https://www.gov.uk/guidance/coronavirus-covid-19-impact-on-hm-land-registrys-service

Importantly, the Land Registry will process registrations where documents have been executed using the Mercury signing approach:

For land registration purposes, a signature page will need to be signed in pen and witnessed in person (not by a video call). The signature will then need to be captured, with a scanner or a camera, to produce a PDF, JPEG or other suitable copy of the signed signature page. Each party sends a single email to their conveyancer to which is attached the final agreed copy of the document and the copy of the signed signature page.

To summarise some further points:

• Most information enquiries are experiencing minimal delays
• Registrations of new titles, such as on sales of part or new leases, and applications to update existing titles, are experiencing more significant delays but can be expedited via the expedite service
• Cancellation dates for replying to requisitions are extended until further notice
• Access to free documents on the land registry portal has been extended to 90 days from completion of the transaction
• Identity requirements have been relaxed. The Land Registry will now raise a requisition for identity documents, and not cancel applications
• Requests for extensions to a notice or objection period will be granted if lawfully possible
• Land charges searches can be submitted electronically with PDF documents