Vol 14 (2017) - Issue 5

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Thomas v Frogmore: COMI Factors and Improper Motive Reviewed

The recent case of Thomas & another v Frogmore Real Estate Partners & others [2017] EWHC 25 (Ch) provides useful guidance for analysing the centre of main interests ('COMI') of a company not registered in the UK or other EEA state and therefore of the circumstances in which UK courts will allow insolvency proceedings to be instigated within the jurisdiction in the relating to such a company.

Further the judgment is one of only a few cases to comment on the scope of the 'improper motive' provision, contained in paragraph 81 of Schedule B1 to the Insolvency Act 1986 (the 'Act'), which provides that the court may terminate an administration where the appointor had an ‘improper motive' for making the appointment.