Insolvency: Administrators and receivers liable on adopted contracts
This report relates to 2 case(s)
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Powdrill and Atkinson (as joint administrators of Paramount Airways Ltd) v Watson and another [1995] IRLR 269 HL (0 other reports)
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Talbot and another v Grundy and another [1995] IRLR 269 HL (0 other reports)
Where the conduct of an administrator or receiver of a company amounts to an election to treat a continued contract of employment as giving rise to a separate liability in the administration or receivership, that contract is "adopted" within the meaning of the Insolvency Act 1986, holds the House of Lords in Powdrill and Atkinson v Watson and another; Talbot and another v Cadge and another; and Talbot and another v Grundy and another. Adoption automatically occurs if an administrator or receiver continues an employee in employment for more than 14 days after appointment.
