Directors' fiduciary duties

In a recent High Court ruling it has been confirmed that a director's fiduciary duties survive a company's entry into administration or voluntary liquidation.

The case related to a successful application by a liquidator in respect of company property sold at undervalue and payments made after the company entered administration.

The decision is confirmation that, while a director's powers may end on insolvency, fiduciary duties do not.

Re Systems Building Services Group Limited (In Liquidation)[2020] EWHC 54 (Ch)