LWMLCR: Legal Aspects of Corporate Rescue

Module code: LWMLCR

Module provider: School of Law

Credits: 20

Level: Postgraduate Masters

When you'll be taught: Semester 1

Module convenor: Dr Bolanle Adebola, email: b.adebola@reading.ac.uk

Pre-requisite module(s):

Co-requisite module(s):

Pre-requisite or Co-requisite module(s):

Module(s) excluded:

Placement information: NA

Academic year: 2024/5

Available to visiting students: Yes

Talis reading list: No

Last updated: 29 August 2024

Overview

Module aims and purpose

Credit is the ‘life-blood’ of modern market economy. Its corollary, however, is insolvency. No corporate entity is immune from the prospect of failure, though the effects may vary in severity. Across the globe, the notion of an alternative to failure for financially distressed entities is justifiably receiving prime focus. With both emerging and developed entities concerned to reform their insolvency systems to facilitate the rehabilitation of financially distressed entities, rescue models, both formal and informal, are being created or modified with varied levels of success. The module invites students to explore the rescue concept, assess the perspectives and objectives aspired to by international rescue systems, examine the challenges faced by policy-makers and evaluate the effectiveness of the choices that are made. The module introduces students to the issues peculiar to the rescue of various types of corporate entities; highlighting how the differences in their requirements impact the design of effective international rescue models. At the end of the module, students would have developed significant knowledge of a fast-paced, rapidly developing area of the law with national and international significance. 

The module is designed:  

• To afford students the opportunity to acquire critical understanding of the notion of corporate rescue.  
• To encourage students to critically reflect upon the effects of insolvency on the main methods of corporate funding.  
• To promote awareness of key legal and policy issues implicated in the creation of effective rescue systems.  
• To stimulate debates on the political economy of corporate failure and rescue.   
• To expose students to international issues in the sphere of corporate rescue law.  

Module learning outcomes

By the end of the module, it is expected that students will be able to: 

1. Demonstrate knowledge of the legal framework of corporate rescue.  
2. Critically analyse a range of rescue perspectives and theories.  
3. Assess the effectiveness of a chosen rescue model.  
4. Execute competent and independent research into varied aspects of the law relating to corporate rescue.   

In addition, the module will encourage the development of: 

• The ability to comment on the current state of the law and its future directions.  
• Skills in oral communication, practical application, team-work and independent learning.

Module content

The module will cover topics such as: 

• Debt finance and the Corporate Insolvency system 
• The ascendancy of Corporate Rescue systems.  
• Administration and the rise of the pre-pack. 
• Company Voluntary Arrangements.  
• Schemes of Arrangement 
• Effects of insolvency on Directors’ duties and liabilities  
• Effects of insolvency on employees’ rights and entitlements.  
• Cross-border issues and law 
• Comparative review of rescue models 
• Contemporary Issues in Rescue Practice 

Structure

Teaching and learning methods

Module delivery will be through a mix of lectures and a group-work/student participation. Students are expected to prepare for seminars in which there will be a group discussion of seminar questions.  

Study hours

At least 22 hours of scheduled teaching and learning activities will be delivered in person, with the remaining hours for scheduled and self-scheduled teaching and learning activities delivered either in person or online. You will receive further details about how these hours will be delivered before the start of the module.

Please note the independent study hours above are notional numbers of hours; each student will approach studying in different ways. We would advise you to reflect on your learning and the number of hours you are allocating to these tasks.

Semester 1 The hours in this column may include hours during the Christmas holiday period.

Semester 2 The hours in this column may include hours during the Easter holiday period.

Summer The hours in this column will take place during the summer holidays and may be at the start and/or end of the module.

Assessment

Requirements for a pass

Students need to achieve an overall module mark of 50% to pass this module.

Summative assessment

Penalties for late submission of summative assessment

The Support Centres will apply the following penalties for work submitted late:

Assessments with numerical marks

• where the piece of work is submitted after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for that piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of three working days;
• the mark awarded due to the imposition of the penalty shall not fall below the threshold pass mark, namely 40% in the case of modules at Levels 4-6 (i.e. undergraduate modules for Parts 1-3) and 50% in the case of Level 7 modules offered as part of an Integrated Masters or taught postgraduate degree programme;
• where the piece of work is awarded a mark below the threshold pass mark prior to any penalty being imposed, and is submitted up to three working days after the original deadline (or any formally agreed extension to the deadline), no penalty shall be imposed;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded.

Assessments marked Pass/Fail

• where the piece of work is submitted within three working days of the deadline (or any formally agreed extension of the deadline): no penalty will be applied;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension of the deadline): a grade of Fail will be awarded.

The University policy statement on penalties for late submission can be found at: /cqsd/-/media/project/functions/cqsd/documents/qap/penaltiesforlatesubmission.pdf

You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work.

Formative assessment

Formative assessment is any task or activity which creates feedback (or feedforward) for you about your learning, but which does not contribute towards your overall module mark.

There will be workshops with short case studies that assist the students in applying their knowledge and improving their learning.  

Reassessment

Additional costs