Liability of insolvency practitioner

Smurthwaite v Simpson-Smith and another ChD LTL 28 April

An insolvency practitioner had recognised that at the material date, no debt was owed to the debtor’s cohabitee that was payable from his assets, but he failed to act on that recognition. Such failure was a default below the standard of professional judgement required of a professional insolvency practitioner and accordingly, he was personally liable for 50% of the costs incurred.