Cases & Deals

Comet liquidator obtains £100m+ judgment on leading Insolvency Act preference claim

Client(s) Geoffrey Lambert Carton-Kelly as additional liquidator of CGL Realisations

Jones Day represents Geoff Carton-Kelly, liquidator of CGL Realisations Limited (formerly Comet Group Limited), in successfully obtaining a £100m+ judgment against Darty Holdings SAS by way of a preference claw back claim arising from the retail giant's collapse into administration in November 2012. In a comprehensive judgment handed down on 17 November 2022, Falk J. found in favour of Mr. Carton-Kelly, concluding that Darty is now liable to pay c. £90m (plus interest and costs). The decision is understood to represent the largest ever (by value) preference claim successfully brought under the UK’s 1986 Insolvency Act and is set to become a leading authority in this area of insolvency law, including on (i) the operation of "desire to prefer" under s.239(5), (ii) the operation of the presumption under s.239(6), and (iii) remedial discretion.

Carton-Kelly v Darty [2022] EWHC 2873 (Ch)